U.S. Stock Futures Open Higher as November Nears Positive Close
Traders on Wall Street are gearing up for a winning November as U.S. stock futures opened higher on Wednesday night, with all three major stock indexes poised to wrap up the month on a positive note.
Futures tied to the Dow Jones Industrial Average rose by 99 points, or 0.28%, while S&P 500 and Nasdaq 100 futures climbed 0.07% and 0.10%, respectively.
The biggest gainers in Wednesday’s extended trading session included Salesforce, Snowflake, and Nutanix, all rising on the back of better-than-expected earnings. Salesforce saw an 8% jump, while Snowflake and Nutanix added more than 7%.
While the 30-stock Dow and the S&P 500 ended Wednesday’s trading session near the flatline, the two indexes are only about 0.5% and 0.8%, respectively, from their year-to-date closing highs. The tech-heavy Nasdaq Composite slipped 0.16% during the day but is also roughly 0.7% away from its 2023 closing high.
The major averages remain on track to close November with sizeable gains, putting an end to a three-month losing streak for the indexes. The S&P 500 is up 8.5% in November, while the Nasdaq has advanced nearly 11%. Both averages are tracking for their best monthly performance since July 2022. The Dow is up 7.2% in November, on pace for its best month since October 2022.
Despite interest rates lingering at higher levels, strategist Jay Woods isn’t afraid that stocks will give up their gains before the year’s end. “The cycle, to me, is complete. We’ve made back what we lost, and now we’re starting to build on where we were going at the end of 2021 when the market was hot,” the chief global strategist at Freedom Capital Markets told CNBC. “The price action is positive. The economic data supporting the Fed to continue to keep rates at bay and possibly decrease is a huge tailwind.”
Investors will be keeping an eye on earnings reports from Big Lots, Express, and Kroger before the bell on Thursday. Additionally, they will also be watching out for October’s reading for personal consumption expenditures, a key inflation gauge for the Federal Reserve. Weekly jobless claims are also due on Thursday.
With the positive momentum in the market and the potential for continued economic support from the Fed, it looks like November is shaping up to be a strong month for U.S. stocks.