US index futures quiet after Dow Jones hit record, investors tracking Nvidia earnings

US index futures slipped on August 25 following a record-breaking session on Wall Street as traders positioned themselves ahead of major corporate earnings and key economic data due later in the week.

Dow Jones futures fell 0.2 percent while S&P 500 futures and Nasdaq 100 futures slipped by 0.2 percent and 0.3 percent respectively a short while ago.

Friday’s rally saw the Dow surge 1.89 percent with the S&P 500 rose 1.52 percent and tech-heavy Nasdaq Composite climbed 1.88 percent near record high in a rally sparked by Federal Reserve Chair Jerome Powell’s annual Jackson Hole speech.

Powell hinted that the central bank could begin easing monetary policy as soon as next month. Market expectations for a quarter-point rate cut in September jumped to roughly 84 percent, up from 75 percent earlier last week, according to the CME Group’s FedWatch tool.

Tech Earnings Center Stage

All eyes will be on Nvidia, which is set to report earnings after hours. Analysts at Stifel have reiterated an Overweight rating on the chipmaker and raised price target to $212 from $202, citing broad-based demand for the GB300 AI platform and a de-risked China supply environment.

Other tech heavyweights including Dell and Marvell are scheduled to release earnings on Thursday, and could determine whether the tech rally resumes or whether a broader rotation into cyclical stocks continues, traders said.

Investors are also looking ahead to Friday’s July Personal Consumption Expenditures (PCE) report, the Fed’s preferred gauge of inflation. Economists surveyed by Dow Jones expect core PCE to rise 2.9 percent on-year, slightly higher than June’s 2.8 percent, providing further clue on the Fed’s policy trajectory.

Key Pre-market Movers

Shares of Intel rose more than 2 percent in pre-market trading after the US government confirmed a 10 percent stake in the chipmaker, valued at $11.1 billion, under the CHIPS Act.

Pre-market trading saw Keurig Dr Pepper shares fall over 3 percent after the company announced an $18.4 billion acquisition of JDE Peet’s and plans to split its beverage and coffee units into two separate U.S.-listed companies.

Cryptocurrency ETFs

Ether ETFs saw $237 million in net outflows for the week ending August 22, marking the first week of outflows since May. Bitcoin ETFs saw over $1 billion worth of exit, reflecting caution in digital assets after recent volatility.

Asian Markets

Asian equities surged on Monday, mirroring US optimism around potential Fed easing.

China: CSI 300 rose 2.08 percent to 4,469.22, hitting a 37-month high, while the Shanghai Composite added 1.51 percent to 3,884.

Hong Kong: Hang Seng gained 1.94 percent to 25,829.91, supported by Nio (+15.17%) and ASMPT (+7.6 percent). The Hang Seng Tech Index climbed 3.14 percent to 5,825.09

Taiwan: Taiex advanced 2.16 percent to 24,277.38

South Korea: Kospi rose 1.3 percent to 3,209.86 and Kosdaq jumped 1.98 percent to 798.02

Japan: Nikkei 225 closed 0.41 percent higher at 42,807.82, while Topix added 0.15 percent to 3,105.49

Australia: S&P/ASX 200 ended flat at 8,972.40 after briefly crossing 9,000

India: Nifty 50 gained 0.53 percent and the Sensex moved up 0.51 percent

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