Traders
work
on
the
floor
of
the
New
York
Stock
Exchange
during
afternoon
trading
on
January
22,
2024
in
New
York
City.
The
Dow
Jones
and
S&P
both
hit
all
time
highs
with
the
Dow
Jones
closing
over
38,000
points
for
the
first
time
ever
as
stocks
continue
to
rise.
Michael
M.
Santiago
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Getty
Images
News
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U.S.
stock
futures
fell
across
the
board
Sunday
night
as
Wall
Street
looked
toward
several
mega-cap
tech
earnings
reports
and
the
Federal
Reserve’s
rate
policy
decision.
Futures
tied
to
the
Dow
Jones
Industrial
Average
declined
86
points,
or
0.2%.
S&P
500
and
Nasdaq
100
futures
were
down
0.2%
and
0.3%,
respectively.
The
three
major
averages
all
rose
during
the
previous
trading
week
following
encouraging
economic
data.
Economic
growth
in
the
fourth
quarter
was
stronger
than
expected,
while
core
inflation
on
a
yearly
basis
was
lower
than
economists
had
expected,
suggesting
a
cooldown
in
price
increases.
However,
the
market’s
gains
were
more
muted
compared
to
the
prior
week’s
rally
after
notable
companies
such
as
Intel
and
Tesla
disappointed
on
the
earnings
front.
This
week
marks
the
busiest
week
of
the
earnings
season,
with
19%
of
the
S&P
500
reporting
earnings.
Mega-cap
tech
names
Microsoft,
Apple,
Meta,
Amazon
and
Alphabet
—
part
of
the
core
group
of
big
tech
companies
that
have
led
this
year’s
rally
—
will
be
posting
their
results.
Investors
will
also
keep
an
eye
on
several
Dow
components
reporting
their
quarterly
earnings,
including
Boeing
and
Merck.
Meanwhile,
the
Federal
Open
Market
Committee
will
begin
its
two-day
policy
meeting
on
Tuesday.
Investors
are
nearly
certain
the
central
bank
will
keep
rates
steady.
Traders
in
the
fed
funds
futures
market
assigned
an
almost
97%
probability
the
Fed
will
not
cut
rates
at
the
upcoming
meeting,
according
to
the
CME
Group.
Sonu
Varghese,
global
macro
strategist
at
Carson
Group,
believes
“the
Fed
doesn’t
really
have
to
worry
about
a
hot
economy
stoking
inflation
anymore,
because
we
literally
see
the
opposite.
The
economy
is
running
above
trend
and
inflation
is
coming
down.
Based
on
that,
in
terms
of
portfolio
allocation,
we’re
overweight
equities.”
To
be
sure,
he
added
that
while
the
Fed
will
likely
reduce
rates
later
this
year,
“and
maybe
lead
to
some
capital
appreciation,
[it
will]
probably
not
be
as
much
as
the
market
is
expecting.”
