After moving notably higher over the two previous sessions, stocks may show a lack of direction in early trading on Thursday. The major index futures are currently pointing to a roughly flat open for the markets, with the S&P 500 futures up by less than tenth of a percent.
A mixed reaction to earnings news from Dow components Nvidia (NVDA) and Salesforce (CRM) may lead to choppy trading on Wall Street.
Shares of Nvidia are jumping by 1.0 percent in pre-market trading after the AI leader reported better than expected fiscal fourth quarter results and provided upbeat guidance.
“Despite markets already pricing in extraordinary year-on-year growth, Nvidia projected revenue for the next quarter well above consensus estimates,” said Daniela Hathorn, Senior Market Analyst at Capital.com.
She added, “The results reset a narrative that had begun to tilt overly bearish in recent sessions, where concerns around overspending, diminishing returns and intensifying competition had weighed on valuations.”
Meanwhile, shares of Salesforce are slumping by 1.7 percent in pre-market trading after the customer service software maker reported better than expected fourth quarter results but provided disappointing guidance.
In U.S. economic news, a report released by the Labor Department showed a modest increase in first-time claims for U.S. unemployment benefits in the week ended February 21st.
The Labor Department said initial jobless claims rose to 212,000, an increase of 4,000 from the previous week’s revised level of 208,000.
Economists had expected jobless claims to climb to 215,000 from the 206,000 originally reported for the previous week.
Stocks moved mostly higher during trading on Wednesday, adding to the strong gains posted in the previous session. With the continued advance, the Nasdaq and the S&P 500 more than offset the steep losses posted on Monday.
The major averages ended the day just off their highs of the session. The Nasdaq jumped 288.40 points or 1.3 percent to 23,152.08, the S&P 500 climbed 56.06 points or 0.8 percent to 6,946.13 and the Dow rose 307.65 points or 0.6 percent to 49,482.15.
In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance on Thursday. Hong Kong’s Hang Seng Index slumped by 1.4 percent, while Japan’s Nikkei 225 Index increased by 0.3 percent and South Korea’s Kospi spiked by 3.7 percent.
Meanwhile, European stocks have moved mostly higher on the day. While the French CAC 40 Index is up by 0.8 percent, the German DAX Index is up by 0.4 percent and the U.K.’s FTSE 100 Index is up by 0.2 percent.
In commodities trading, crude oil futures are tumbling $1.20 to $64.22 a barrel after slipping $0.21 to $65.42 a barrel on Wednesday. Meanwhile, after climbing $49.90 to $5,226.20 an ounce in the previous session, gold futures are falling $40.40 to $5,185.80 an ounce.
On the currency front, the U.S. dollar is trading at 156.08 yen versus the 156.33 yen it fetched at the close of New York trading on Wednesday. Against the euro, the dollar is valued at $1.1805 compared to yesterday’s $1.1809.
Business News
U.S. Stocks May Lack Direction Following Two-Day Rally
2026-02-26 13:56:53
