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The
Commerce Department will release its second take on
first-quarter GDP at 08:30 a.m. ET. The numbers are expected to
show a slightly shallower 1.3% contraction than the 1.4%
quarterly annualized drop originally reported in April.
The report will come a day after the minutes of the Federal
Reserve's May meeting showed policymakers noted the U.S. economy
remained strong, with households in such good shape that it
might be harder to get them to stop spending and take the
pressure off of prices.
Most Fed policymakers judged that further hikes of 50 basis
points would "likely be appropriate" at the U.S. central bank's
policy meetings in June and July, largely in-line with
investors' expectations. That boosted U.S. stocks to close
higher on Wednesday.
Markets have sold off sharply this year on increasing jitters
about an economic slowdown due to aggressive Fed policy moves to
rein in surging prices. The war in Ukraine, pandemic-related
lockdowns in China and recent dismal corporate forecasts have
also weighed.
The blue-chip Dow and the benchmark S&P 500 are down 11.6% and
16.5% year-to-date, while the tech-heavy Nasdaq has fallen
nearly 27% as high-multiple growth stocks took a hit from rising
interest rates.
At 06:26 a.m. ET, Dow e-minis were up 77 points, or 0.24%, S&P
500 e-minis were up 7 points, or 0.18%, and Nasdaq 100 e-minis
were down 10.75 points, or 0.09%.
Nvidia Corp fell 5.5% in premarket trading after the chip
designer forecast a decline in sales of video game chips in the
current quarter, and laid out new supply-chain snags from
China's COVID-19 lockdowns.
Apple Inc slipped 1.5% after a media report that the company
plans to keep iPhone production for 2022 roughly flat at about
220 million units.
Twitter Inc gained 5.6% after Elon Musk pledged an additional
$6.25 billion in equity financing to fund his $44-billion offer
for the social-media company.
(Reporting by Devik Jain and Anisha Sircar in Bengaluru; Editing
by Saumyadeb Chakrabarty)
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