WYNN - US Stocks On Backfoot Amid Overbought Levels S&P 500 Eyes Break Above 5K: Analyst Sees 'Dramatically Higher' Market Surge From Rally This Year | Benzinga
U.S. stock futures suggest a subdued start for Wall Street on Thursday amidst anticipation of more earnings reports. The Dow may find support from Walt Disney Co.’s (NYSE:DIS) premarket rally following a quarterly earnings beat, while bond yields hover above 4.1%. Oil is up for a fourth straight session, potentially lifting energy stocks.
Focus now shifts to the jobless claims report for labor market insights, with market overbought levels prompting a defensive stance. The S&P 500 nears the psychological 5,000 mark, awaiting momentum confirmation.
Cues From Wednesday's Trading:
U.S. stocks surged to record highs on positive earnings and comments from Federal Reserve officials. Major averages opened higher, consolidating later. Dow and S&P 500 closed at records, the Nasdaq Composite hit a 25-month high, and the Nasdaq 100 Index reached a new peak.
Nine of 11 S&P 500 sectors closed higher, led by IT, consumer discretionary, and communication services. Real estate and consumer staple sectors saw modest weakness.
US Index Performance On Wednesday
Index Performance (+/-) Value
Nasdaq Composite +0.95% 15,756.64
S&P 500 Index +0.82% 4,995.06
Dow Industrials +0.40% 38,677.36
Russell 2000 -0.17% 1,953.63
Analyst Color:
The market breadth will likely improve, according to comments from economic David Rosenberg. He shared a chart showing the earnings growth split between the “Magnificent Seven” stocks and the remaining 493 S&P 500 companies, which showed contribution from the former offsetting the negative growth of the latter.
The Magnificent 7 drove the S&P 500 last year while the remaining 493 companies fell by the wayside. This year will be a different story, with ...