Stock futures rise Thursday after Dow closes at a record high: Live updates

U.S. stock futures climbed Wednesday night after the Federal Reserve indicated multiple rate cuts in 2024, and the Dow Jones Industrial Average closed at an all-time high.

Futures tied to the 30-stock Dow added 125 points, or 0.34%. S&P 500 futures and Nasdaq 100 futures gained 0.4% and 0.5%, respectively.

The Federal Open Market Committee kept interest rates unchanged in a range between 5.25% and 5.5%, in line with Wall Street’s expectations. Market sentiment was buoyed after policymakers penciled in three rate cuts next year.  

In regular trading, the Dow jumped by 1.4% during the main trading session to close at 37,090.24. This was the first time the 30-stock index closed above 37,000 and broke its previous closing high from January 2022. The S&P 500 added 1.37%, finishing above 4,700 for the first time since January 2022. The Nasdaq Composite gained 1.38%. The three major averages all rose to new 52-week highs. 

The central bank’s commentary was a “tip of the cap to the fact that we’re on a path to a soft landing — and maybe they will be able to ease policy more than the market expects in 2024,” said Ross Mayfield, investment strategy analyst at Baird. 

Mayfield thinks that the market rally from over the past six weeks and following Powell’s comments is now “warranted.”

“We’re basically priced for perfection,” Mayfield said. “We’re probably at a point where risks are skewed a little bit to the downside in 2024, but a soft landing is certainly in the cards and the Fed’s acknowledgement today does help justify the move in equities.” 

In extended trading Wednesday, shares of Adobe declined by more than 4% following muted guidance for 2024 earnings and revenue. 

Investors will be keeping an eye on economic data on Thursday. Weekly jobless claims will be released at 8:30 a.m. ET. November’s retail sales and imports data are also due that morning, as well as October’s business inventories report.