Stock futures were quiet on Tuesday night as Wall Street looked to build on the positive start to 2023 so far.
Futures linked to the Dow Jones Industrial Average rose 19 points, or less than 0.1%. S&P 500 futures and Nasdaq 100 futures were little changed.
The moves come after the Nasdaq Composite rose 1.01% on Tuesday, ending on its first three-day winning streak since November. The S&P 500 and Dow are up 0.70% and 0.56%, respectively, and all three moving averages are positive for the young year.
The moves have prompted a recovery rally for riskier areas of the market like technology, but many investors are still wary of the earnings season and further expected Federal Reserve rate hikes.
“I think pinpointing when the Fed will finally start cutting rates will be a challenge. There is some evidence that better markets are on the way as interest rates from the Federal Reserve begin to fall. But whether that’s at the end of 2024 or at the end of 2023, at least at this point in mid-January, the situation is just too difficult,” said Matthew Palazzolo, senior investment strategist at Bernstein Private Wealth Management.
Wednesday offers an easy schedule for economic data, but investors will brace for a key inflation report on Thursday and big bank earnings on Friday.