Merchants work on the ground on the New York Inventory Alternate (NYSE) in New York Metropolis, U.S., August 12, 2025.
Brendan McDermid | Reuters
Inventory futures traded barely greater early Monday after hopes for decrease rates of interest fueled a profitable week on Wall Avenue.
Dow Jones Industrial Common futures edged up 57 factors or 0.13%. S&P 500 futures and the Nasdaq 100 futures have been up 0.14% and 0.21%, respectively.
Sunday night time’s motion comes after the three main averages notched their second straight constructive week. The Dow climbed 1.7%, whereas the S&P 500 and Nasdaq Composite rose 0.9% and 0.8%, respectively. It was additionally the fourth week of positive aspects out of the final 5 for the S&P 500 and Nasdaq.
Small-cap shares outperformed final week, leaping greater than 3% as buyers wager on forthcoming fee cuts from the Federal Reserve.
Ross Mayfield, funding strategist at Baird Non-public Wealth Administration, additionally pointed to the S&P 500 Equal Weight Shopper Discretionary index hitting an all-time excessive as an indication that tariff-driven financial fears could also be overblown.
“With the market’s message fairly upbeat … it raises the query of whether or not the traditional knowledge a few weakening U.S. client and potential stagflation is lacking the mark,” he wrote in a Friday notice.
The Fed will proceed to be in focus this week as central financial institution members journey to Jackson Gap, Wyoming, for the annual financial coverage symposium. Traders will probably be monitoring the occasion for clues concerning the future path of charges. Fed funds futures are pricing in a virtually 85% chance that the central financial institution cuts charges at its subsequent coverage assembly in September, in keeping with CME’s FedWatch instrument.
Past financial coverage, merchants will probably be monitoring earnings experiences due over the course of the week because the season winds down. Huge-box retailers, together with House Depot, Lowe’s, Walmart and Goal, are among the many main firms slated to launch outcomes this week.
Of the greater than 92% of S&P 500 firms which have already reported this quarter, virtually 82% have surpassed Wall Avenue’s expectations, in keeping with FactSet.