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Wall Street Futures Edge Higher as Soft Jobs Data Fuels Rate-Cut Hopes

  US stock futures ticked upward on Wednesday, extending Wall Street’s rebound as investors digested a weaker-than-expected ADP employment report. The data showed a surprise decline in private-sector payrolls, reinforcing expectations that the Federal Reserve may move forward with an interest rate cut at its upcoming December meeting. Market Performance Dow Jones Industrial Average futures rose about 0.2%, adding 80 points to 47,624. S&P 500 futures gained 9.25 points to 6,849.50, up 0.14%. Nasdaq 100 futures advanced 25.50 points to 25,631.50, a 0.10% increase. Key Drivers The ADP jobs report revealed a drop in private-sector employment, signaling cooling labor market conditions. This bolstered investor confidence that the Fed will ease monetary policy, with markets pricing in nearly 88% odds of a rate cut next week. Tech stocks continued to provide momentum, with Nvidia and Marvell edging higher. Crypto-linked stocks surged, with PMAX up 67%, CMCT up 30%, a...
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 US stock futures took a sharp dive today as hopes for interest rate cuts in 2025 were dashed. The Dow Jones Industrial Average, S&P 500, and Nasdaq futures all saw significant declines amid rising bond yields and a stronger dollar.

The Dow Jones Industrial Average fell by 0.3%, while S&P 500 futures sank by 0.8%, and Nasdaq 100 futures tumbled by 1.2%. This drop follows a strong jobs report from December, which has led investors to believe that the Federal Reserve will maintain higher interest rates for a longer period.

The 10-year Treasury yield reached a 14-month high, touching close to 4.8%, while the 30-year yield neared 5%. Additionally, the US dollar surged to a two-year high against major currency peers.

Investors are now pricing in no rate cuts until at least September 2025, with only a slight 30 basis point reduction expected for the entire year. This has put a spotlight on the upcoming Consumer Price Index (CPI) report, due on Wednesday, as concerns grow that inflation may not cool to the central bank's 2% target.

Tech giants like Nvidia and Tesla were among the hardest hit, with both companies seeing their stock prices slide amid the market turmoil. The rise in energy prices, following new US sanctions on Russia's crude industry, has also added to the market's woes.

As the market continues to react to these developments, investors are bracing for a potentially rough session ahead.




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