Futures edge higher ahead of trade activity data

Traders work on the floor of the New York Stock Exchange (NYSE) in New York, U.S., August 22, 2022. REUTERS/Brendan McDermid

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  • Futures up: Dow 0.21%, S&P 0.22%, Nasdaq 0.24%

Aug 23 (Reuters) – U.S. stock index futures rose on Tuesday after a strong sell-off on Wall Street in the previous session on concerns over aggressive signals from the Federal Reserve on interest rate hikes , with manufacturing and service data at your fingertips.

The S&P Purchasing Managers’ (PMI) flash composite index due at 9:45 a.m. ET, which would provide clues on the strength of the U.S. economy, will follow weak readings from Europe earlier in the day, which heightened expectations of a recession in the region. and global markets under pressure.

Wall Street has closed sharply lower for the past two sessions as investors worried about a Fed rally later this week in Jackson Hole, Wyoming, where central bank chairman Jerome Powell is expected to step up a pledge. firm to eradicate inflation at four decades high.

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After a difficult start to the year, markets have rallied since mid-June on hopes that inflation may have peaked, but the summer rally was halted last week on renewed fears of a tightening aggressive monetary policy from the Fed.

Traders remain torn between a 50 basis point hike and a 75 basis point hike by the central bank at its meeting next month, although economists polled by Reuters expect a 50 basis point hike . FEDWATCH find out more

US Treasury yields fell slightly on Tuesday, a day after rising above 3% for the first time since July 21, supporting growth in megacaps and tech stocks.

High-growth stocks such as Apple Inc (AAPL.O) and Amazon.com Inc (AMZN.O) each added 0.3% in pre-bell trading, while most banks also edged higher.

As of 6:47 a.m. ET, Dow e-minis were up 70 points, or 0.21%, S&P 500 e-minis were up 9.25 points, or 0.22%, and e-minis Nasdaq 100 were up 31.25 points, or 0.24%.

Pandemic favorite Zoom Video Communications Inc (ZM.O) fell 11% after the company cut its full-year profit and revenue forecast. Read more

Palo Alto Networks (PANW.O) gained 8.5% after the cybersecurity company posted upbeat quarterly results and announced a stock split plan.

U.S.-listed shares of Chinese e-commerce giant Pinduoduo (PDD.O) rose 2.4% on plans to launch a cross-border e-commerce platform next month that will target the United States as the first market, a source with direct knowledge of said the matter. Read more

JD.com Inc soared 5.2% beating Wall Street estimates for quarterly revenue as lockdowns in China to control the spread of the coronavirus boosted online shopping and the company’s “618” trading event. society. Read more

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Reporting by Bansari Mayur Kamdar and Devik Jain in Bengaluru; Editing by Sriraj Kalluvila

Our standards: The Thomson Reuters Trust Principles.

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