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Microsoft's shares advanced 2.4% before the bell after CEO Satya
Nadella said Altman is set to join the tech giant to lead a new
advanced AI research team.
Other megacap stocks were mixed, with Nvidia edging 0.6% higher,
while Alphabet slipped 1.1%.
The three main U.S. stock indexes have staged a stellar rebound
in November, posting gains for the third week in a row on Friday
as evidence of easing U.S. inflation supported bets that the
Federal Reserve was done raising interest rates.
The benchmark S&P 500 is now only 2% away from its highest level
this year reached in July.
Traders have nearly fully priced in the likelihood that the Fed
will keep interest rates unchanged in December, with odds of an
at least 25 basis point rate cut in May standing at about 60%,
according to the CME Group's FedWatch tool.
"While a ‘wait and see mood’ has descended, confidence is still
quietly bubbling that interest rate cuts could be on the
horizon," Susannah Streeter, head of money and markets at
Hargreaves Lansdown wrote in a note.
"Concerns that there could be another grinch-like hike from the
Fed in December have retreated and more bets are being placed
that a reduction could come in the Spring."
A number of catalysts will set the tone for markets this week.
Chip designer Nvidia is due to report quarterly results on
Tuesday, wrapping up the third-quarter earnings season for the
"Magnificent Seven" group of megacap companies.
The Fed is expected to issue minutes of its November meeting on
Tuesday, which will be parsed for clues on the direction of U.S.
interest rates. Black Friday sales will provide a gauge on the
state of U.S. consumer spending.
At 5:22 a.m. ET, Dow e-minis were up 28 points, or 0.08%, S&P
500 e-minis were up 4.5 points, or 0.1%, and Nasdaq 100 e-minis
were up 28.75 points, or 0.18%.
(Reporting by Amruta Khandekar; Editing by Maju Samuel)
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