Stock market today: S&P 500, Nasdaq futures edge up to put 9th day of wins in reach

08/20/2024 17:53
Stock market today: S&P 500, Nasdaq futures edge up to put 9th day of wins in reach

Markets are marking time as anticipation builds for Fed Chair Powell's speech at Jackson Hole, expected to usher in a rate cut.

Stocks on Wall Street hit pause on Tuesday after notching their longest rally this year, amid optimism that Jerome Powell will soon signal the Federal Reserve is open to deeper interest-rate cuts than previously expected.

S&P 500 futures (ES=F) were little changed but in the green, coming off an eight-strong run of daily wins for the benchmark index — its longest since November. Dow Jones Industrial Average futures (YM=F) wavered around the flatline, while contracts on the tech-heavy Nasdaq 100 (NQ=F) edged up 0.1%.

Markets are marking time as anticipation builds for Fed Chair Powell's speech at the Jackson Hole get-together for central bankers at the end of the week. Stocks have made a strong comeback from an early August rout as fresh economic data bolstered the case for the central bank to start lowering rates sooner — and maybe further — than previously thought.

Wall Street expects Powell to set the stage for a September rate cut in dovish remarks on Friday, now that several Fed officials have given their blessing to easing. The debate now is whether a 0.5% cut is in the cards, rather than on the timing of the move, and what part upcoming labor data will play in deciding that.

On the corporate front, Lowe's (LOW) cut its annual profit and sales forecasts in its quarterly earnings before the bell. The home improvement retailer joined rival Home Depot (HD) in flagging muted consumer demand for big-ticket purchases.

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