U.S. stock futures were down barely on Thursday morning following a fifth straight day of losses for the S&P 500 as Wall Street weighed the likelihood of a recession.
Dow Jones Industrial Average futures shed 20 points, or 0.06%. S&P 500 futures lost 0.11%, while Nasdaq 100 futures were 0.18% lower.
Shares of Rent the Runway surged greater than 27% in prolonged trading. The web retailer topped revenue expectations in its most up-to-date quarter as shoppers opted to borrow designer clothes amid rising inflation.
Through the regular session Wednesday, the S&P 500 declined 0.19% in its fifth straight losing session. The Dow was virtually flat, adding just 1.58 points. Meanwhile, the Nasdaq Composite slipped 0.51%.
The Federal Reserve is anticipated to issue a 50 basis point rate of interest hike next week. It is a smaller increase than the prior 4 rate hikes. Still, investors are increasingly concerned whether the central bank can avoid a recession next 12 months in its try to squash inflation.
“We have been waiting for earnings to return down, we have been waiting for CEOs to acknowledge the indisputable fact that a recession is more likely than not, and here we’re,” Liz Young, head of investment strategy at SoFi, said Wednesday on CNBC’s “Closing Bell: Extra time.”
“It’s hard for me to see how we would not have one. But I feel it could be an excellent thing if we just got it over with,” Young added.
On the economic front, investors are awaiting the most recent data on weekly jobless claims before the bell on Thursday. Economists polled by Dow Jones are anticipating a reading of 230,000, up barely from the prior week’s total of 225,000.
Traders expect essentially the most recent earnings results from Lululemon Athletica, DocuSign, Broadcom and Costco after the bell Thursday.
