S&P 500 Hits Record High as Futures Show Stability Ahead of Wall Street Open
Ahead of the New York market opening, futures indicate stability with Dow Jones contracts down about 0.1%, S&P 500 futures up roughly 0.1%, and Nasdaq futures rising 0.2%. Market strategist Anastasia Amoruso of Partners Group described the market as bullish, citing strong corporate earnings. Over 90% of S&P 500 companies have reported second-quarter results, showing aggregate earnings growth near 50%, according to FactSet.
European markets are trading positively, with London and Paris slightly above baseline and Frankfurt up about 0.9%. Asian markets closed mixed: Japan's Nikkei rose 0.6%, Hong Kong's Hang Seng fell 1.1%, Shanghai was unchanged, and Seoul surged 2.4%, supported by memory chip makers Samsung and SK Hynix, which gained 2.5% and 7.3%, respectively.
On Wall Street yesterday, the S&P 500 reached a new record above 7,800 points before retreating slightly, finishing up 0.6%. The Nasdaq increased 0.8%, and the Dow Jones added 0.1%. U.S. producer price index (PPI) data for July showed no change, below expectations, while core PPI rose 0.2%, slightly under forecasts. This follows consumer price index (CPI) data rising 0.1%, matching expectations. These moderate inflation figures bolster expectations that the Federal Reserve will delay interest rate hikes in September, supporting continued gains on Wall Street.
Notable stock movements included Netflix rising after Bill Ackman's Pershing Square disclosed a new investment in the company. Super Micro Computer surged 19% following strong quarterly results and an optimistic forecast exceeding analyst expectations. Cisco shares fell after a slightly weaker-than-expected gross margin forecast for the next quarter, despite a strong full-year outlook. Intel shares rose after Bank of America maintained a buy rating, highlighting a $20 billion capital raise to support chip manufacturing expansion.
Among Israeli companies on Wall Street, Wix, Monday.com, Playtika, and ZIM saw gains, while Cellebrite dropped about 30% following its quarterly report. Palo Alto Networks rose about 2%, nearing a $320 billion market cap and approaching the milestone of becoming the first trillion-shekel company on the Tel Aviv Stock Exchange.
