New York, NY – The New York Stock Exchange saw flat U.S. stock futures at the beginning of the final trading session of September, following three consecutive weeks of gains for the major averages. Futures tied to the Dow Jones Industrial Average hovered close to even, while S&P 500 futures saw a slight increase of 0.04% and Nasdaq 100 futures rose by 0.08%.
On Friday, the 30-stock Dow reached a new all-time high with a 0.3% increase, ending the week up around 0.6%. Similarly, the S&P 500 and the Nasdaq Composite also saw gains of approximately 0.6% and 1% for the week, respectively. Wall Street is set to close out September with positive momentum, as the Dow and the S&P 500 are up 1.8% and 1.6% for the month, while the Nasdaq has advanced by 2.3%.
Despite a rocky start to what is historically considered the weakest month for the stock market, markets rebounded in September after the Federal Reserve made a half-point cut to interest rates. The S&P 500 has seen a 5.1% increase for the quarter, bringing its year-to-date gain to over 20%. However, October has a history of market volatility, with some notable drawdowns on Wall Street occurring during the month.
Recent economic data has bolstered investor confidence in further rate cuts from the Fed, as the personal consumption expenditures price index for August came in at just 2.2%, the lowest since February 2021. Additionally, initial jobless claims numbers released last week were lower than expected, indicating strength in the labor market. Scott Helfstein, head of investment strategy at Global X, noted that the positive economic indicators suggest stability in prices, a healthy consumer base, and opportunities for companies to benefit from lower rates, all contributing to continued advancement in risk assets.
Looking ahead, markets face a significant test later in the week with the release of September’s jobs report on Friday. Carnival is also scheduled to announce its quarterly results on Monday morning, adding to the ongoing market activity as investors navigate through potential challenges and opportunities in the current economic landscape.