Log in
Log in
Or log in with
GoogleGoogle
Twitter Twitter
Facebook Facebook
Apple Apple     
Sign up
Or log in with
GoogleGoogle
Twitter Twitter
Facebook Facebook
Apple Apple     
News
All NewsCompaniesIndexesCurrency / ForexCommoditiesCryptocurrenciesETFInterest RatesEconomyThemesSectors 

Futures rise as focus turns to Powell speech

11/30/2022 | 07:42am EST
Traders work on the floor of the NYSE in New York

(Reuters) - U.S. stock index futures edged higher on Wednesday, with those of the Nasdaq rising the most on gains in Tesla shares, while investors treaded cautiously ahead of comments from Federal Reserve Chair Jerome Powell later in day.

Powell's speech will be closely watched for signs of a slowdown in the pace of interest rate hikes by the central bank as well as to assess the general health of the U.S. economy.

"Fed Chair Powell is speaking, but past comments have done little other than chant 'hike, hike, hike'," said Paul Donovan, chief economist, UBS Global Wealth Management.

"Powell has yet to explain the mechanism by which hiking rates is supposed to reduce inflation (which matters to analyzing when rates might peak) ... today's speech should signal a slowing of rate hikes."

Hopes that the Fed will now hike rates in smaller increments and recent data pointing to a mild cooling in prices have positioned the benchmark S&P 500 index for its second straight month of gains.

The Dow Jones Industrial Average has gained nearly 18% in the last two months, while the Nasdaq index has added about 4%.

Traders see the Fed increasing rates by 50 basis points in December, with the rates peaking in June 2023. [FEDWATCH]

Electric-vehicle maker Tesla Inc shares rose 1.4% in premarket trading as its sales in November were boosted by price cuts and incentives offered on its Model 3 and Model Y, according to data from China Merchants Bank International (CMBI).

The company led gains among other growth stocks, including Apple Inc, Microsoft Corp and Amazon.com Inc, all of which rose between 0.5% and 0.6%.

Boeing Co shares gained 1.4% after U.S. Senate Commerce Committee Chair Maria Cantwell drafted a proposal granting exceptions for its two 737 MAX variants if they include safety enhancements.

At 6:47 a.m. ET, Dow e-minis were up 24 points, or 0.07%, S&P 500 e-minis were up 8 points, or 0.2%, and Nasdaq 100 e-minis were up 44.25 points, or 0.38%.

Biogen Inc rose 4.0% after its experimental Alzheimer's drug made along with Japanese co Eisai Co Ltd slowed cognitive decline in a closely watched trial.

On the data front, the U.S. Commerce Department will release its second estimate of third-quarter gross domestic product. The report is expected to show the economy grew at a 2.7% annualized rate, slightly above the department's previous projection of 2.6%.

An ADP National Employment report is set to show that private employment increased by 200,000 jobs in November, compared with 239,000 jobs added in the previous month.

(Reporting by Shreyashi Sanyal & Devik Jain; Additional reporting by Shubham Batra; Editing by Anil D'Silva)

By Shreyashi Sanyal


ę Reuters 2022
Stocks mentioned in the article
ChangeLast1st jan.
AMAZON.COM, INC. -0.88% 101.345 Delayed Quote.21.71%
APPLE INC. -1.59% 143.57 Delayed Quote.12.31%
AUSTRALIAN DOLLAR / US DOLLAR (AUD/USD) -0.50% 0.7068 Delayed Quote.4.32%
BIOGEN INC. -1.09% 287.03 Delayed Quote.4.75%
BOEING -0.43% 210.315 Delayed Quote.10.86%
BRITISH POUND / US DOLLAR (GBP/USD) -0.31% 1.236 Delayed Quote.2.50%
CANADIAN DOLLAR / US DOLLAR (CAD/USD) -0.40% 0.748 Delayed Quote.1.72%
CHINA MERCHANTS BANK CO., LTD. 2.39% 42.03 End-of-day quote.12.80%
DOW JONES INDUSTRIAL -0.34% 33857.7 Real-time Quote.2.51%
EISAI CO., LTD. -0.49% 8109 Delayed Quote.-6.38%
EURO / US DOLLAR (EUR/USD) -0.13% 1.0853 Delayed Quote.1.57%
INDIAN RUPEE / US DOLLAR (INR/USD) 0.05% 0.012277 Delayed Quote.1.48%
MICROSOFT CORPORATION -1.88% 243.4384 Delayed Quote.3.48%
NASDAQ 100 -1.71% 11957.73 Real-time Quote.11.21%
NASDAQ COMPOSITE -1.55% 11440.26 Real-time Quote.11.04%
NEW ZEALAND DOLLAR / US DOLLAR (NZD/USD) -0.15% 0.648 Delayed Quote.2.27%
TESLA, INC. -3.49% 171.87 Delayed Quote.44.42%
Latest news "Economy"
01:40pIndia's NSE lowers circuit limit to 10% on three Adani firms
RE
01:39pSuspect in Spain machete attacks on churches jailed on remand
RE
01:38pNHL-Hall of Famer 'Golden Jet' Bobby Hull dies at 84
RE
01:36pBritain unlawfully issued surveillance warrants for nearly five years - tribunal
RE
01:35pPace of Mexican economic growth likely slowed in fourth quarter
RE
01:26pJPMorgan reviews oversight of traders amid boom in financial markets - sources
RE
01:19pU.S. again asks Mexico to review labor rights issues at VU Manufacturing
RE
01:16pUnilever turns to former Heinz exec to steer new course
RE
01:15pBoeing to add 737 MAX line as it boosts production
RE
01:09pEU planning fast-track permits for clean tech -draft
RE
Latest news "Economy"