Dow Jones futures will open Sunday evening, along with S&P 500 futures and Nasdaq futures, with a key Fed meeting in focus. A market rally attempt is underway, led by Apple stock and Microsoft, with strong gains for the major indexes and the S&P 500 hitting a record close.
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But market breadth remains a concern. And the market rally is set to stage a follow-through day to confirm the new uptrend. Until then, investors should be cautious about making new buys.
Apple (AAPL), Microsoft (MSFT), Advanced Micro Devices (AMD), NXP Semiconductors (NXPI), Adobe (ADBE), Tesla (TSLA) and Rivian stock are in focus this week, with implications for important sectors and the broader market. Adobe stock and Rivian Automotive (RIVN) have earnings this coming week.
Microsoft, Adobe, AMD and Tesla stock are on IBD Leaderboard. Adobe and Microsoft stock are on IBD Long-Term Leaders. Microsoft and AMD stock are on the IBD 50.
The video embedded in this article reviewed the week’s market action and analyzed Microsoft, Adobe and NXP stock.
Federal Reserve Meeting
The final Fed meeting of the year is on Dec. 14-15. After finally agreeing to begin scaling back asset purchases at the November Fed meeting, policymakers have signaled they could speed up the bond taper this week. That would set the stage for Fed rate hikes before mid-2022.
The omicron Covid variant was a potential wild card at the start of the month, but there’s a growing consensus that it’s not a game changer. With inflation at a 39-year high of 6.8% and initial jobless claims at the lowest since 1969, Fed chief Jerome Powell and several of his colleagues are taking a more-hawkish tone.
Will the Fed go ahead with a faster taper, or merely signal that one could come in early 2022? And how will financial markets react?
Dow Jones Futures Today
Dow Jones futures open at 6 p.m. ET on Sunday. So will S&P 500 futures and Nasdaq 100 futures.
Remember that overnight action in Dow futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session.
Join IBD experts as they analyze actionable stocks in the stock market rally on IBD Live
Coronavirus News
Coronavirus cases worldwide reached 269.71 million. Covid-19 deaths topped 5.31 million.
Coronavirus cases in the U.S. have hit 50.70 million, with deaths above 817,000.
Stock Market Rally Attempt
A new stock market rally began on Monday, Dec. 5, with the major indexes rebounding from recent lows and closing near weekly highs.
The Dow Jones Industrial Average ran up 4% in last week’s stock market trading. The S&P 500 index popped 3.8%. The Nasdaq composite gained 3.6%. Apple stock and Microsoft are Dow Jones, S&P 500 and Nasdaq components.
The small-cap Russell 2000 advanced 2.4%
Among the best ETFs, the Innovator IBD 50 ETF (FFTY) climbed 1.9%, while the Innovator IBD Breakout Opportunities ETF (BOUT) gained…
Read More: Dow Jones Futures: Bulls Still Penned In With Fed Set To Speed Up; Apple,