Traders now see a 56 per cent chance of a September rate reduction, according to the CME’s FedWatch tool. Investors will eye US inflation data next week and the Federal Reserve’s two-day policy meeting, which ends on June 12.
“No one expects the Fed to cut (rates next week), but will they open the door for a cut as soon as September is the big question on everyone’s mind,” said Ryan Detrick, chief market strategist at the Carson Group, adding he still sees a September reduction on the table.
At 2:28 p.m., the Dow Jones Industrial Average rose 10.90 points, or 0.03 per cent, to 38,897.07, the S&P 500 gained 1.07 points, or 0.02 per cent, to 5,354.03 and the Nasdaq Composite lost 36.36 points, or 0.21 per cent, to 17,136.70.
GameStop slumped 38 per cent in volatile trading just as stock influencer “Roaring Kitty” kicked off his first livestream in three years. The gaming retailer had announced a potential stock offering and a drop in quarterly sales.
AMC Entertainment and Koss were down 14 per cent and 17 per cent, respectively.
Nvidia slipped 0.7 per cent, on track to extend the previous session’s losses, with its valuation again dipping below the $US3 trillion mark. The chipmaker’s highly anticipated 10-for-1 share split is due after markets close and could make the more-than-$US1000 stock cheaper for investors.
Lyft shares rose 0.6 per cent, following a forecast of 15 per cent annual growth in its gross bookings through 2027
Declining issues outnumbered advancers by a 2.66-to-1 ratio on the NYSE. On the Nasdaq, 1,139 stocks rose and 3,039 fell as declining issues outnumbered advancers by a 2.67-to-1 ratio.
The S&P 500 posted 17 new 52-week highs and 5 new lows while the Nasdaq Composite recorded 30 new highs and 131 new lows.
Reuters