US stock futures showed little change on Monday as investors awaited signals from the final Federal Reserve meeting of 2023 regarding potential interest rate cuts. Dow Jones Industrial Average futures dropped 10 points, S&P 500 futures dipped 0.1%, and Nasdaq-100 futures slipped 0.2%.
In premarket trading, Macy’s shares surged by 18% following news of a buyout offer amounting to $5.8 billion.
The Federal Reserve is anticipated to maintain the fed funds rate in the 5.25%-5.5% range, with Chair Jerome Powell expected to reiterate his commitment to tackling inflation during the Wednesday press conference. CME Group’s FedWatch tool suggests a 45% likelihood that the Fed will lower rates by 0.25 percentage points in March.
Ken Mahoney, CEO at Mahoney Asset Management, suggested that investors may prefer a sustained higher market level, and the Fed might take a pause as the market adjusts to the elevated rates of the past year and a half. US stock futures
Market participants are also focused on key inflation data, with the November consumer price index due on Tuesday and the producer price index on Wednesday. Earnings reports from Oracle on Monday, Adobe on Wednesday, and Costco Wholesale on Thursday are also on investors’ radar.
Closing the week, the S&P 500 and Nasdaq Composite completed a six-week winning streak, rising 0.2% and 0.7%, respectively, on Friday. However, the Dow remained flat for the week.