US Futures Trade in Narrow Range
US stock futures traded in a narrow range on Wednesday, with the heavyweight tech sector holding its aggressive decline in the previous session as markets assessed the sustainability of the AI-led rally, retailers' earnings results, and the outlook for rates in the US. The three main equity indices were relatively flat.
Tech giants held sharp losses the last session to show fresh concern on whether valuations in AI companies have gone too far, in line with research noting that most AI firms will not be profitable, while Meta has already overhauled its AI team.
In turn, key retailers' earnings were mixed. Target was 10% down in overnight trading as it revealed a new CEO, despite beating earnings, while Estee Lauder sank 11% on a pessimistic guidance. On the other hand, TJX and Lowe's each gained 3% after releasing results. Walmart reports tomorrow. Meanwhile, FOMC minutes may unveil how policymakers weigh slowdowns in the labor market against stubborn inflation.(ayu)
Source: Mewsmaker.id
