U.S. stock futures traded around the flatline Thursday, as investors warily awaited the release of weekly jobless claims as a guide to future Federal Reserve monetary policy.
At 05:55 ET (09:55 GMT), Dow Jones Futures gained 65 points, or 0.1%, while S&P 500 Futures slipped 6 points, or 0.1%, and Nasdaq 100 Futures dropped 28 points, or 0.1%.
The main Wall Street indices closed lower Wednesday, retreating for a second straight session from record highs, with technology stocks leading the decline amid concerns over stretched valuations and uncertainty about the Federal Reserve’s next moves.
Jobs data, PCE inflation due
Sentiment has been hit of late by comments from Fed Chair Jerome Powell, who stated earlier in the week that there is “no risk-free path” for the central bank as it weighs risks from both inflation and a cooling labor market.
These cautious statements about the path ahead for interest rates following last week’s 25-basis point cut in borrowing costs have created a degree of uncertainty of the number of reductions the Fed will agree to this year.
With this in mind, investors will carefully study the release of weekly jobless claims data later in the session, given the worries of Fed policymakers about a weakening labor market and rising layoffs.
A final reading of second-quarter U.S. gross domestic product is also due later Thursday, followed by the Fed’s preferred inflation measure, the personal consumption expenditures price index, on Friday.
Government shutdown looms
Investors are also fretting over a looming partial government shutdown as lawmakers remain locked in a funding standoff, with both chambers struggling to agree on a short-term extension.
The Senate last week rejected a Republican-backed stopgap bill that would have kept the government funded until Nov. 21, citing Democratic opposition over the exclusion of healthcare and Medicaid provisions.
A Politico report late Wednesday said that the White House budget office has instructed federal agencies to prepare layoff plans that could trigger mass firings if a government shutdown occurs next week.
Accenture leads earnings slate
Accenture (NYSE:ACN) is due to be one of the headliners of a slew of corporate earnings prior to the opening bell on Thursday.
In focus will likely be Accenture’s view of the impact of AI, with the firm having made consulting on the technology a priority to help offset wider economic uncertainty sparked by sweeping U.S. tariffs.
Joining Accenture on the list of pre-open reports will be electronics component manufacturer Jabil Circuit (NYSE:JBL).
Shares of the Florida-headquartered group and Apple supplier have surged by more than 57% so far this year, fueled by optimism around demand for infrastructure services around data centers.
Companies have been racing to fold AI into their operations, driving a need for the data centers that underpin the computing power behind the technology.
Elsewhere, shares of Intel Corporation (NASDAQ:INTC) rose after a Bloomberg report said the company approached Apple Inc (NASDAQ:AAPL) about a potential investment in the struggling chipmaker.
Crude falls
Oil prices fell Thursday, retreating from the prior session’s seven-week high amid uncertainty around the supply-demand outlook.
At 05:55 ET, Brent futures dropped 0.6% to $68.93 a barrel, and U.S. West Texas Intermediate crude futures fell 0.7% to $64.56 a barrel.
Both benchmarks gained 2.5% on Wednesday to their highest levels since August 1, driven by a surprise drop in U.S. weekly crude inventories and concerns Ukraine’s attacks on Russia’s energy infrastructure could disrupt supplies.
Source :
https://www.investing.com/news/stock-market-news/wall-st-futures-steady-as-markets-eye-jobless-claims-pce-inflation-data-4254504
