Futures rise on dovish Fed comments after jobs data

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U.S. stock futures advanced on Friday, buoyed by dovish comments from Federal Reserve officials and robust labor market data.

Nvidia led the gains in technology stocks with a 2.5% rise in premarket trading.

The CBOE Volatility Index, a measure of market anxiety, dropped significantly from its earlier peak, reflecting a reduction in market turbulence.

Despite the week’s overall declines, with major indexes like the Dow Jones down approximately 0.7%, the market rebounded following encouraging jobless claims data.

Investors are now focusing on upcoming consumer price and retail sales reports for further indications of economic stability.

Futures markets anticipate a 54.5% chance of a 50 basis point rate cut by the Fed in September, with additional cuts expected by the end of 2024.

Individual stock movements included a decline for Elf Beauty due to lower sales forecasts, while SoundHound AI saw a boost after exceeding revenue expectations.

Reuters

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