Harvest Global Markets :

Stock futures performed unevenly during Thursday’s pre-market trade, suggesting that investors are feeling cautious. Futures for the Dow Jones Industrial Average are down 0.20% at 36,039.00, while the S&P 500 Index is down 0.04% at 4,554.25. The Nasdaq-100, on the other hand, has shown resilience, rising just 0.16% to 15,840.25. Major indices have already seen a three-day losing run, which raises questions about whether the late-2023 rally will be sustainable.

Following hours, two significant stock changes are Chewy and GameStop, which had drops as a result of lower net sales in the fourth quarter and lower net sales overall, respectively. Positively, Verint Systems increased by almost 10% after reporting strong third-quarter earnings, but ChargePoint Holdings had a 1% decline as a result of missing revenue estimates.

The 10-year yield on U.S. Treasury notes increased to 4.159%, indicating investor concern over the influence of the labor market on Federal Reserve policy. ADP’s latest employment data, which revealed fewer private payroll increases than anticipated, heightens worries about a slowing labor market. Aiming to get more understanding of economic patterns, investors are keeping a careful eye on the November jobs report and the impending jobless claims.

The prevailing market sentiment is one of uncertainty, sustained domination of growth trades, and muted expectations for overall economic growth. Important economic data releases are expected to influence market sentiment, particularly those related to wage data, nonfarm payrolls, and jobless claims. Major companies’ earnings reports—including Dollar General’s—are eagerly anticipated for clues about the direction of the market and the state of the economy.

The daily S&P 500 Index indicates a neutral to slightly bearish sentiment based on technical analysis. The price of 4555.75 is currently slightly below the close of the previous session, suggesting a slight change in momentum. The index is positioned above the 50-day and 200-day moving averages, indicating a medium- to long-term bullish trend overall. But given how close the current price is to the minor resistance level of 4562.50, it could serve as a ceiling and the minor support level at 4494.00 as a possible cushion. The proximity to the resistance level and a minor drop from the close of the previous day point to a short-term bearish outlook, which makes traders cautious.