\n<\/p>\n
The major U.S. index futures are currently pointing to a modestly higher open on Thursday, with stocks likely to move to the upside following the mixed performance seen in the previous session.<\/p>\n
Early buying interest may be generated in reaction to a steep drop by the price of crude oil, as U.S. crude oil futures plunge by 2.3 percent.<\/p>\n
The slump in crude oil prices comes as worries about the outlook for demand are overshadowing the supply concerns raised by the ongoing conflict in the Middle East.<\/p>\n
However, a negative reaction to some of the latest earnings news may limit the upside, with shares of Cisco Systems (CSCO) plummeting by more than 7 percent in pre-market trading.<\/p>\n
Cisco is under pressure even though the networking giant reported better than expected quarterly results and provided upbeat guidance.<\/p>\n
After advancing early in the session, stocks remained mostly positive throughout the trading day on Wednesday, although buying interest appeared somewhat subdued. The Nasdaq and the S&P 500 finished the day higher, partly offsetting the weakness seen to start the week.<\/p>\n
The tech-heavy Nasdaq climbed 143.04 points or 0.5 percent to 26,588.49 and the S&P 500 rose 20.30 points or 0.3 percent to 7,748.50.<\/p>\n
Meanwhile, the narrower Dow spent most of the day lingering near the unchanged line before closing down 21.58 points or less than a tenth of a percent at 53,770.27.<\/p>\n
The early strength on Wall Street came as relatively tame consumer price inflation data eased concerns about the outlook for interest rates.<\/p>\n
Before the start of trading, the Labor Department released a report showing consumer prices crept up in line with economist estimates in the month of July.<\/p>\n
The Labor Department said consumer prices inched up by 0.1 percent in July after falling by 0.4 percent in June. The uptick in consumer prices matched economist estimates.<\/p>\n
The report also said core consumer prices, which exclude food and energy prices, rose by 0.2 percent in July after coming in unchanged in June. The increase in core prices also matched expectations.<\/p>\n
The annual rate of growth by consumer prices edged down to 3.4 percent in July from 3.5 percent in June, while the annual rate of growth by core consumer prices slipped to 2.5 percent in July from 2.6 percent in June. The modest slowdowns also came in line with estimates.<\/p>\n
Strength among AI-related stocks also contributed to the upward move amid a positive reaction to quarterly results and guidance from companies like CoreWeave (CRWV) and Super Micro Computer (SMCI).<\/p>\n
Buying interest waned over the course of the session, however, as the recent resurgence of Middle East tensions and the subsequent spike in crude oil prices have led to worries about a reacceleration in inflation.<\/p>\n
While U.S. crude oil futures were little changed on the day, they remain elevated following the sharp increase seen over the past few sessions.<\/p>\n
Outside mediators continue to make efforts to bring the U.S. and Iran back to the negotiating table, but the rhetoric from the two countries’ leaders suggest the conflict is not likely to end soon. <\/p>\n
With Super Micro Computer leading the sector higher, computer hardware stocks extended the rally seen over the past few sessions.<\/p>\n
Reflecting the strength in the sector, the NYSE Arca Computer Hardware Index spiked by 5.5 percent to a record closing high.<\/p>\n
Networking and semiconductor stocks also saw substantial strength, contributed to the upward move by the tech-heavy Nasdaq.<\/p>\n
Transportation, gold and brokerage stocks also moved to the upside on the day, while housing and software stocks showed notable moves to the downside.<\/p>\n
Commodity, Currency Markets<\/b> <\/p>\n
Crude oil futures are plunging $1.74 to $81.53 a barrel after inching up $0.07 to $83.27 a barrel on Wednesday. Meanwhile, after rising $26.40 to $4,467.50 an ounce in the previous session, gold futures are falling $21.80 to $4,445.70 an ounce.<\/p>\n
On the currency front, the U.S. dollar is trading at 159.29 yen versus the 159.41 yen it fetched at the close of New York trading on Wednesday. Against the euro, the dollar is valued at $1.1530 compared to yesterday’s $1.1524.<\/p>\n
Asia<\/b><\/p>\n
Asian stocks ended mixed on Thursday even as technology<\/span> shares extended gains on renewed optimism over artificial-intelligence spending.<\/p>\n Investors closely monitored oil price movements and developments in the Iran conflict after talks between Washington and Tehran to end the war hit an impasse.<\/p>\n The U.S. dollar was steady ahead of the release of U.S. producer price inflation data later today and readings on retail sales and consumer sentiment due on Friday.<\/p>\n Gold was subdued at $4,376 an ounce despite softer inflation data helping ease fears about potential rate increases by the U.S. Federal Reserve.<\/p>\n Brent crude futures fell more than 1 percent to trade below $88 a barrel, snapping a six-day advance after EIA data showed a massive increase in U.S. oil inventories last week and U.S. President Trump claimed the United States is in control of the Strait of Hormuz and there is nothing Iran can do about it.<\/p>\n China’s Shanghai Composite Index ended half a percent lower at 3,926.96, giving up early gains. Hong Kong’s Hang Seng Index slipped 0.2 percent to 25,396.51.<\/p>\n Lenovo Group shares soared 20 percent after the technology company reported stronger-than-expected quarterly revenue.<\/p>\n Japanese markets<\/span> rose sharply as the yen remained under pressure despite expectations for further currency intervention and speculation that that the Bank of Japan would hike interest rates next month.<\/p>\n Data showed Japan’s annual wholesale inflation remained elevated in July, highlighting broadening price pressures and bolstering rate hike bets.<\/p>\n The Nikkei 225 Index jumped 1.2 percent to 68,308.59, while the broader Topix Index closed 0.89 percent higher at 4,176.04.<\/p>\n Chip and electronics stocks surged, with Murata Manufacturing rallying 10.3 percent. Advantest and Kioxia Holdings both rose around 4 percent.<\/p>\n Seoul stocks ended sharply higher for the fourth consecutive session as bargain hunters scooped up major chipmakers. The Kospi Index surged 3.6 percent to 6,813.34.<\/p>\n Samsung Electronics, SK Hynix and SK Square jumped 5-9 percent as investors cheered a series of strong earnings reports from U.S. AI infrastructure companies.<\/p>\n Australian markets ended slightly lower after RBA Assistant Governor Christopher Kent said recent rate increases are beginning to weigh on consumer spending and broader economic activity.<\/p>\n The benchmark S&P\/ASX 200 Index slipped 0.2 percent to 9,188.50, dragged down by mining stocks. The broader All Ordinaries Index dropped 0.3 percent to 9,381.40.<\/p>\n Rio Tinto tumbled 3.6 percent after its Tomago facility in New South Wales secured financial support from both the federal and state governments. ANZ Group shares soared 4.5 percent after the bank reported growth in its quarterly cash profit.<\/p>\n Across the Tasman, New Zealand’s benchmark S&P\/NZX-50 Index rose 0.6 percent to 13,825.30, snapping a two-day losing streak after a central bank survey showed that inflation will likely fall significantly over the next two years.<\/p>\n Europe<\/b><\/p>\n European stocks were broadly higher on Thursday as oil prices slump on expectations of weakening demand and softer U.S. inflation data eased concerns over the possibility of a near-term Federal Reserve rate hike.<\/p>\n The British pound was under pressure after official data showed the U.K. economy<\/span> expanded at a slower pace in the second quarter.<\/p>\n U.K. real gross domestic product grew 0.4 percent from a quarter, following first quarter’s 0.6 percent expansion, according to data from the Office for National Statistics. The pace of growth matched expectations.<\/p>\n On a yearly basis, GDP advanced 1.2 percent in the second quarter compared to economists’ forecast of 1.1 percent expansion.<\/p>\n The pan-European STOXX 600 Index has edged up by 0.2 percent after falling 0.2 percent on Wednesday.<\/p>\n The German DAX Index is up by 0.4 percent and the French CAC 40 Index is up by 0.1 percent, although the U.K.’s FTSE 100 is down by 0.3 percent, dragged down by energy stocks.<\/p>\n Costain Group shares have moved sharply higher. The British infrastructure group reaffirmed annual guidance after posting strong half-year results.<\/p>\n Rank Group, the company behind the Grosvenor Casinos and Mecca Bingo brands, has also surged after reporting a 21 percent increase in underlying profit for the year ended June 30, 2026.<\/p>\n German car rental company Sixt has also shown a substantial move to the upside after reporting record first-half revenue.<\/p>\n Steel and industrial technology group Thyssenkrupp has also risen as it raised the lower end of its profit outlook for 2026.<\/p>\n Danish shipping giant Maersk has also surged. The company raised its full-year outlook after reporting a sharp increase in second-quarter profit.<\/p>\n Jeweler Pandora has also advanced after raising its 2026 guidance for organic growth and profit margin.<\/p>\n Meanwhile, BP Plc and Shell have fallen as oil prices retreated from recent highs on expectations of weaker global demand this year.<\/p>\n Antofagasta shares have also tumbled as the Chilean copper miner delivered mixed first-half results. The company posted a sharp rise in first-half profit but trimmed its 2026 copper output forecast.<\/p>\n U.S. Economic News<\/b><\/p>\n First-time claims for U.S. unemployment benefits climbed by more than expected in the week ended August 8th, according to a report released by the Labor Department on Thursday.<\/p>\n The report said initial jobless claims rose to 209,000, an increase of 9,000 from the previous week’s revised level of 200,000.<\/p>\n Economists had expected jobless claims to inch up to 203,000 from the 199,000 originally reported for the previous week.<\/p>\n The Labor Department also said the less volatile four-week moving average came in at 199,000, unchanged from the previous week’s revised average.<\/p>\n A separate report released by the Labor Department on Thursday showed producer prices in the U.S. unexpectedly came in flat in the month of July.<\/p>\n The Labor Department said its producer price index for final demand was unchanged in July after edging down by a revised 0.1 percent in June.<\/p>\n Economists had expected producer prices to rise by 0.2 percent compared to the 0.3 percent dip originally reported for the previous month.<\/p>\n The report also said the annual rate of growth by producer prices slowed to 4.7 percent in July from 5.5 percent in June. The annual rate of growth was expected to slow to 4.9 percent.<\/p>\n At 1 pm ET, the Treasury Department is scheduled to announce the results of this month’s auction of $25 billion worth of thirty-year bonds. <\/p>\n<\/p>\n<\/div>\n