|
Both the S&P 500 and the blue-chip Dow logged their best weekly
percentage gains so far this year on Friday, with the Fed
sticking to its guidance for three interest rate cuts this year.
Traders now see a 75% chance of the Fed bringing in the first
cut in June, according to the CME FedWatch tool, up from around
55% at the start of last week.
However, Atlanta Fed President Raphael Bostic said late on
Friday he now expects just a single quarter-point cut instead of
the two he had projected, citing persistent inflation and
stronger-than-anticipated economic data.
A slate of Fed officials, including Chicago Fed President Austan
Goolsbee, are set to speak later in the day.
The crucial February reading of the personal consumption
expenditures (PCE) price index, the Fed's preferred inflation
gauge, is due on Friday, when the U.S. markets will be shut for
the Good Friday holiday.
A hot reading for the PCE index can dent market optimism around
early rate-cuts.
Final estimates of fourth quarter GDP and a March consumer
confidence reading are also due later in the next few days,
which round off the last trading week of the March quarter.
At 5:15 a.m. ET, Dow e-minis were down 44 points, or 0.11%, S&P
500 e-minis were down 5.75 points, or 0.11%, and Nasdaq 100
e-minis were down 32.75 points, or 0.18%.
Intel and Advanced Micro Devices fell over 2% each in premarket
trading following a report that China has introduced guidelines
to phase out U.S. microprocessors from the chipmakers from
government personal computers and servers.
Cryptocurrency and blockchain-related stocks such as exchange
operator Coinbase Global, crypto miner Riot Platforms and
software firm MicroStrategy jumped between 2.7% and 5.1%,
tracking a more than 5% advance in bitcoin prices.
Most megacap growth stocks edged lower, with Tesla lagging with
an 0.8% decline.
AI-giant Nvidia rose 0.9%, after notching up its eleventh
consecutive weekly gain.
United Airlines fell 2.1% after the U.S. Federal Aviation
Administration said it is increasing its oversight of the
company.
Meanwhile, President Joe Biden on Saturday signed into law a
$1.2 trillion spending package, keeping the U.S. government
funded through a fiscal year that began six months ago.
(Reporting by Shashwat Chauhan in Bengaluru; Editing by
Saumyadeb Chakrabarty)
[© 2024 Thomson Reuters. All rights
reserved.]
This material may not be published,
broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content.
|
|
