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US STOCKS-Futures mixed after previous week's slide as focus shifts back to earnings
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US STOCKS-Futures mixed after previous week's slide as focus shifts back to earnings
Nov 19, 2024 8:44 PM

(For a Reuters live blog on U.S., UK and European stock

markets, click or type LIVE/ in a news window.)

*

Futures: Dow down 0.19%, S&P 500 up 0.07%, Nasdaq up 0.41%

Nov 18 (Reuters) - U.S. stock futures were mixed on

Monday, as investors awaited key corporate results, particularly

from Nvidia ( NVDA ), following significant declines on Wall Street the

previous week.

Rising expectations the Federal Reserve will slow its pace

of rate cuts and uncertainty over the impact of U.S.

President-elect Donald Trump's cabinet appointments saw indexes

slump on Friday.

The S&P 500 and the Nasdaq pulled back from

record highs, seeing their worst weekly losses in more than two

months.

Results from AI-chip heavyweight Nvidia ( NVDA ), which

reports third-quarter earnings on Wednesday, will be crucial, as

investors assess whether the AI-optimism responsible for much of

markets' tech-driven rally can continue.

Nvidia ( NVDA ) fell 2.7% in premarket trading. Its revenue is

forecast to jump more than 80% to $33 billion, according to LSEG

data, and the company is expected to post a net income of $18.4

billion.

"Given that its (Nvidia's ( NVDA )) more recent earnings 'beats' have

been dwindling in size, this report will have to beat estimates

more than comfortably, especially with broader valuations

looking rather lofty and bond yields turning back higher after a

brief respite," said Marc Ostwald, chief economist and global

strategist at ADM Investor Services International.

Other megacaps edged higher, with Nasdaq 100 futures gaining

ground after the index fell for five consecutive

sessions. Alphabet rose 0.3%, Amazon.com ( AMZN ) was

up 0.8% while Tesla soared 8.1%.

Earnings from major retailers including Walmart ( WMT ),

Lowe's Companies and Target ( TGT ) this week will also

be scrutinized to gauge the strength of the U.S. consumer as the

key holiday shopping season is set to begin.

At 5:35 a.m. ET, Dow E-minis were down 82 points,

or 0.19%, S&P 500 E-minis were up 4.25 points, or 0.07%,

and Nasdaq 100 E-minis were up 84 points, or 0.41%.

Stock indexes have lost some of the sharp gains made in the

wake of Trump's decisive presidential election win, as optimism

over the Republican's potentially pro-business stance has given

way to focus on the inflationary impact of his policies and the

outlook for the U.S. Federal Reserve's interest-rate path.

Chicago Fed President Austan Goolsbee is expected to speak

on the day, the first of several central bank officials slated

this week. Their comments will be followed closely after Chair

Jerome Powell said the Fed was in no hurry to cut rates.

Traders are pricing in a 38% chance the Fed will keep rates

on hold in December, according to the CME FedWatch.

Still, Wall Street remains fairly well placed heading into

the year-end. The benchmark index has gained nearly 3% in

November and 23% year-to-date as solid economic data, the

presidential election and broadly upbeat earnings have propelled

equities to record highs.

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