Dow Jones futures slightly rose in the early hours on Thursday, along with S&P 500 futures and Nasdaq futures. Salesforce.com (CRM) was the center of attention in another eventful night of software and earnings reports. Before the market opens, the Fed’s preferred inflation gauge and an OPEC+ meeting are poised to keep investors occupied, with a Tesla Cybertruck event scheduled just before the closing bell. Despite an impressive start on Wednesday, the stock market rally diminished as Treasury bond yields continued their steady decline. The Nasdaq and S&P 500, nearly attaining 2023 highs after the opening bell, concluded the day slightly lower.
The release of several software companies’ late-Wednesday reports, including workday (WDAY), Salesforce, Nutanix (NTNX), Snowflake (SNOW), Synopsys (SNPS), Pure Storage (PSTG), and Five Below (FIVE), resulted in a significant impact on the late trading. Specifically, Salesforce, Nutanix, and SNOW stocks emerged as crucial winners, whereas Synopsys slightly rose, and FIVE stocks edged higher, but Pure Storage witnessed a sharp decline. The focus now turns to Thursday’s Tesla (TSLA) Cybertruck delivery event, with TSLA stock reversing from a buy point on Wednesday.
Notably, CRM stock is closely monitored on the IBD Leaderboard watchlist, while SNPS stock is on IBD Long-Term Leaders, and Synopsys is also part of the IBD 50 list. Dow Jones Futures Today recorded a 0.5% rise in relation to fair value, prominently driven by CRM stock. Meanwhile, S&P 500 futures increased by 0.2%, and Nasdaq 100 futures climbed by 0.3%. The 10-year Treasury yield saw a slight increase to 4.29%, and crude oil futures spiked by nearly 2% following reports of potential OPEC+ production cut agreements. Overnight, the official China manufacturing index reported a minor dip to 49.4 in November, indicating a contraction.
Investors eagerly anticipate the PCE price index results, with expectations of a 0.1% rise in October and a core CPE price index up by 0.2%. Fed officials hold positive expectations that inflation will be controlled, with market pricing in possible rate cuts as early as 2024. Despite Wednesday’s moderate stock market actions, the major indexes capitalised on November’s major gains.
Workday (WDAY) and other tech companies reported favourable earnings results on Wednesday. Salesforce (CRM) posted strong financials, leading to a rise in shares. Nutanix (NTNX) also reported a surge following a positive forecast. Snowflake (SNOW) and Synopsys (SNPS) slightly exceeded expectations, while Pure Storage (PSTG) saw a decline.
Investors eagerly await the Tesla Cybertruck event, which could significantly impact the stock market. The PCE price index and core CPE price index are additional influential factors shaping market sentiment. Therefore, strategic consideration and vigilance are encouraged during this period.
