(CercleFinance.com) – The New York Stock Exchange should open little changed on Friday the day after setting new records under the effect of the sparkling health of the ‘Magnificent Seven’ and hopes of disinflation.
Half an hour before the opening, the futures contracts on the major New York indices are moving around their equilibrium point, suggesting a start to the session without much change.
Buoyed by reassuring inflation figures, which pave the way for a future rate cut by the Fed, the S&P 500 and the Nasdaq reached new all-time highs yesterday.
In line with the dynamic that has supported the American markets since the start of the year, the outperformance of the ‘Magnificent 7’ – starting with Amazon (+2.1%) and Nvidia (+1.8%) – boosted the trend.
After its sequence of increases in January and February, which already allows it to post a gain of 7% this year, Wall Street could nevertheless be tempted to catch its breath.
Over the first four sessions of the week, the Dow is currently down 0.2%, the S&P 500 is up 0.2% and the Nasdaq is up barely 0.3%, illustrating a certain fatigue and a lack of conviction on the part of investors.
Some analysts also believe that the now high valuations of American stocks are likely to encourage operators to exercise greater caution.
For Citi, valuations may certainly appear strained after the recent bullish ‘rally’, but they are also supported by healthy fundamentals.
‘We do not agree with those who talk about the risk of a bubble forming,’ reassures Scott Chronert, the US equity strategist at the investment bank.
In this context of uncertainty, investors will closely observe the ISM manufacturing index for the month of February in the United States, expected at the start of the session.
If the results season is now coming to an end, some publications also continue to support the rating, such as the accounts of Dell whose title explodes by 27% in pre-market quotes on the announcement of sales and profits higher than expectations .
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