NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Soars As Microsoft Skyrockets 17%

It should be noted that the market expects that Fed will raise rates at the meeting in September. FedWatch Tool indicates that there is a 63.4% probability of a rate hike at the next meeting.

Today, traders also focused on the GDP Growth Rate report. The report indicated that GDP Growth Rate was +1.5% in the second quarter, compared to analyst consensus of +2.1%.

Personal Income increased by +0.2% month-over-month in June, compared to analyst forecast of +0.3%. Personal Spending grew by +0.3%, in line with analyst estimates.

Initial Jobless Claims report indicated that 197,000 Americans filed for unemployment benefits in a week, compared to analyst forecast of 200,000. The report showed that the job market remained in decent shape.

Tech stocks were among the biggest gainers today as traders rushed to buy AI-related names after the pullback. Consumer defensive and real estate stocks pulled back amid falling demand for safe-haven assets.

Currently, SP500 is trying to settle above the resistance level at 7450 – 7460. In case this attempt is successful, SP500 will move towards the next resistance, which is located in the 7510 – 7520 range. RSI remains in the moderate territory, so there is plenty of room to gain momentum in case the right catalysts emerge.