U.S. stock futures rose following a choppy trading session Friday morning as traders considered Federal Reserve Chairman Jerome Powell’s latest comments on inflation.
Dow Jones Industrial Average futures rose 85 points, or 0.27%. S&P 500 and Nasdaq 100 futures rose 0.33% and 0.53%, respectively.
Shares Document identification The electronic contracts rose more than 17% in extended trading after the company reported an earnings beat. The company released its third-quarter earnings forecast, which came in above expectations.
The Dow Jones industrial average rose 193 points, or 0.61%, during Thursday’s regular session – ending higher after alternating between gains and losses throughout the day. The S&P 500 rose 0.66%, and the Nasdaq Composite advanced 0.60%.
Those gains gave all three major averages 3 consecutive weeks of losses. Through Thursday, the Dow was up 1.45%. Meanwhile, the S&P 500 is up 2.09% and the Nasdaq composite is up 1.99%.
However, as expectations for a 0.75 percentage point hike this month rose on Wall Street, stocks remained under pressure, with the central bank’s chairman reiterating that he was “strongly committed” to reducing inflation.
“I think people greatly underestimate what the Fed is going to do to fight inflation,” Richard Bernstein, CEO of Richard Bernstein Advisors, said Thursday on CNBC’s “Closing Bell: Overtime.”
“It’s incredibly ironic that investors are considering the central bank’s focus when the actual Fed funds rate is as negative as it’s been in history. So the Fed is still not fighting inflation wholeheartedly. We don’t have a positive reality. The Fed funds rate. It’s hard to argue that we should be massively bullish anytime soon.” ” he added.