Stock futures rose during Monday evening’s trading session (Tuesday AEDT), following a mixed day on Wall Street as the Dow Jones Industrial Average recorded its longest losing streak since 2018, while the Nasdaq Composite closed at fresh record highs.
By 10:20 am AEDT (11:20 pm GMT) Dow futures were up 1%, S&P 500 futures gained 1.1%, and Nasdaq-100 futures advanced 1.3%.
On Monday, the Dow fell 0.3%, shedding nearly 111 points, marking its eighth consecutive session of losses - the first such streak since June 2018. In contrast, the Nasdaq Composite climbed 1.2%, setting a new record high, while the S&P 500 edged up by nearly 0.4%.
Notably absent from the rally was Nvidia, which slipped 1.7% on Monday and has declined over 4% this month. Despite this, other major tech names, including Alphabet, Apple, and Tesla, hit all-time highs.
Broadcom also reached new highs, contributing to record closes for the S&P 500’s tech and consumer discretionary sectors.
Bitcoin also reset record highs above US$107,000 (A$167,929) after President-elect Donald Trump reiterated plans to establish a Bitcoin strategic reserve.
Investors are now focused on the Federal Reserve’s final policy meeting of 2024, which begins Tuesday and concludes Wednesday.
Market participants overwhelmingly expect a 0.25% interest rate cut, with CME Group’s Fed Watch Tool assigning a 98.2% probability to this outcome.
However, guidance on future monetary policy and insights from Chair Jerome Powell’s press conference will be pivotal.