City Mayfield, county Ross Financial News

Stock futures were lower Tuesday evening as investors continued to assess a surge in commodity prices and high inflation while the war in Ukraine continues.

Earnings for companies within the S&P 500 are expected to have grown by about 9.4% in 2024, according to FactSet

By Chuck Mikolajczak and Noel Randewich

data eased worries about a recession without raising fears of a Federal Reserve rate hike next week, while Arm Holdings soared in its stock market debut. SoftBank's Arm was valued at nearly $60 billion in a strong Nasdaq debut, with the chip designer's shares soaring nearly 25% in their first day of trading. Retail sales rose more than expected in August on higher gasoline prices, while initial claims for state unemployment benefits climbed to a seasonally adjusted 220,000 for the week ended Sept. 9 from 217,000 the week before. Monthly producer prices for final demand rose 0.7% last month, against expectations of a 0.4% increase.

Nvidia's strong quarterly report last week have left the world's most valuable chipmaker trading at its lowest forward earnings multiple in eight months. Nvidia's stock added nearly 2% to $468 on Monday, leaving it down almost 1% since last Wednesday, when the Santa Clara, California company far exceeded expectations with its quarterly revenue forecast as an artificial-intelligence boom fueled demand for its chips. At that price, Nvidia shares are trading at the equivalent of around 33 times expected earnings over the next 12 months, according to Refinitiv data.

Wall Street ended higher on Monday, with gains in 3M and Goldman Sachs ahead of key inflation and jobs data this week that will offer more clues on the Federal Reserve's interest rate path. All three major stock indexes rose as investors digested last Friday's comments from Fed Chair Jerome Powell that the U.S. central bank may need to raise interest rates further to ensure inflation is contained. Focus now shifts to a report on the personal consumption expenditures price index, the Fed's preferred inflation gauge, to be released on Thursday, and non-farm payrolls data due on Friday. «The fact that Powell didn't come out and say anything particularly hawkish or particularly unnerving to markets — that has proven to make this a bit of a risk-on day, even if he wasn't outright dovish either,» said Ross Mayfield, Investment Strategy Analyst at Baird. Nvidia rose 1.78% and was the most traded stock in the S&P 500, with $31 billion worth of the chipmaker's shares exchanged. Other megacaps also gained, with Apple and Alphabet both adding 0.9%. 3M jumped 5.2% after a report that the conglomerate has tentatively agreed to pay more than $5.5 billion to resolve over 300,000 lawsuits claiming it sold the U.S.