U.S. stock index futures pointed to a mixed open on Thursday, with technology shares staging a modest recovery after a sharp selloff led by Nvidia.
At 06:00 ET (10:00 GMT):
- Dow Jones Futures dipped 70 points (-0.2%)
- S&P 500 Futures gained 40 points (+0.8%)
- Nasdaq 100 Futures jumped 195 points (+1.2%)
The rebound follows Wednesday’s session in which all major indexes posted losses. Nvidia (NASDAQ: NVDA), a key driver of the broader tech sector, revealed a significant quarterly charge tied to U.S. export restrictions, prompting a broader decline.
Fed Chair Jerome Powell’s hawkish remarks on interest rates further weighed on investor sentiment. The Nasdaq Composite closed nearly 19% off its all-time high, inching closer to bear market territory.
Trade Talks Help Ease Market Tensions
Thursday brought renewed optimism around global trade. Investors responded positively to signs that tariff negotiations may de-escalate between the U.S. and key partners.
President Donald Trump said there was “big progress” after talks with Japan’s delegation in Washington, positioning Tokyo as a potential model for future trade agreements.
Further encouraging signs:
- European Commission President Ursula von der Leyen signaled a diplomatic tone, preferring negotiation to confrontation.
- China, according to Bloomberg, is open to dialogue but is seeking more respectful rhetoric from the U.S.
These developments helped calm market jitters that had been driven by fears of a full-blown trade war.
Economic Data and Earnings in Focus
Beyond geopolitics, markets also absorbed a mix of economic data and corporate results.
Federal Reserve Chair Powell reiterated the central bank’s cautious stance, noting tariffs could drive up inflation and hurt growth. March’s retail sales rose 1.4%, driven by a spike in vehicle purchases ahead of potential tariff hikes.
Key Thursday data includes:
- Philadelphia Fed’s April Manufacturing Survey
- Weekly jobless claims
- Housing market updates
Corporate earnings on deck include:
- American Express (NYSE: AXP)
- Blackstone (NYSE: BX)
- Truist Financial (NYSE: TFC)
Notably, Taiwan Semiconductor (NYSE: TSM) posted a 60% surge in Q1 net profit, buoyed by rising AI chip demand.
Oil Rises on Iran Sanctions
Crude futures extended gains Thursday, driven by U.S. sanctions on Iran that raised fresh supply concerns.
At 06:00 ET:
- Brent crude climbed 0.9% to $66.43/barrel
- WTI gained 1.1% to $63.15/barrel
Both contracts are heading for their first weekly gain in three, after reaching two-week highs. The White House’s latest sanctions targeted Chinese buyers of Iranian crude, intensifying pressure on Tehran and disrupting market flows.
Conclusion:
Markets remain volatile as investors navigate shifting trade dynamics, central bank policy, and earnings season. While tech shows signs of recovery, broader uncertainties persist.
