Dow Jones futures were little changed late Wednesday, while S&P 500 futures and Nasdaq futures fell slightly, led by Facebook stock and PayPal (PYPL). The stock market rally closed mixed on Wednesday, taking big tech earnings in stride and improving modestly on the Fed meeting announcement and Fed chief Jerome Powell’s still-dovish comments
The Robinhood (HOOD) IPO is set to price Wednesday night, with the no-fee trading app set to debut Thursday as HOOD stock.
The stock market rally opened mixed but the Nasdaq rose following strong earnings from Apple (AAPL), Microsoft (MSFT) and Google parent Alphabet (GOOGL). Apple stock fell modestly and Microsoft was little changed. But Google stock popped and hit a record high, also lifting Facebook stock.
Advanced Micro Devices (AMD) broke out on earnings. Fellow chipmaker Monolithic Power Systems (MPWR), which technically closed Tuesday pennies above a buy point, decisively broke out on earnings as well on Wednesday. Steelmaker Cleveland-Cliffs (CLF) cleared an early entry a few days after its strong quarterly results. ArcelorMittal (MT) also crossed a buy point Wednesday, but it has earnings due early Thursday.
Fed Sees ‘Progress’
The Fed meeting announcement at 2 p.m. ET said that policymakers see “progress,” but didn’t signal “substantial progress” that would indicate they have begun discussing tapering asset purchases. Fed chief Jerome Powell, in his news conference at 2:30 p.m. ET, said the economy still has a “ways to go.” He also said the U.S. has “ground to cover” before the Fed adjusts its easy money policies. He did say inflation will likely remain elevated for several months, but should moderate.
The Fed meeting and Powell’s comments didn’t surprise markets, especially given the recent rise in Covid cases and related restrictions. Powell could signal “taper talk” late next month at his Jackson Hole speech, or the trigger could come at the September Fed meeting. An actual reduction in bond buys likely wouldn’t start until late 2021 or early 2022.
Generac (GNRC), AMD and Cleveland-Cliffs stock were highlighted in the Stock Market Today video embedded in this story.
Dow Jones Futures Today
Dow Jones futures edged higher vs. fair value. S&P 500 futures dipped 0.1%. Nasdaq 100 futures fell 0.3%. Facebook stock and PayPal are weighing on tech futures.
Go to the news source: Dow Jones Futures: Market Rally Takes Earnings, Fed News In Stride; Facebook, Pa…