US Stock Futures Trade Sideways Amid Earnings, China Trade Hopes
US stock futures struggled for direction on Friday as investors digested corporate earnings and weighed President Trump's conciliatory stance on China tariffs.
* Dow Jones Industrial Average futures (YM=F) edged down 0.3%.
* S&P 500 futures (ES=F) hovered near flat after the index hit a record high of 2025 on Thursday.
* Nasdaq 100 futures (NQ=F) remained largely unchanged.
President Trump's comments at Davos calling for interest rate cuts, lower oil prices, and tax breaks boosted investor sentiment. The major indexes are poised to end the shortened week with gains over 2%. However, some analysts remain skeptical about Trump's ability to implement these changes.
On Thursday, Trump hinted at a softer approach towards China, easing concerns over a potential trade war. Chinese stocks surged following his remarks.
Earnings season is also providing some support to stocks, with Verizon (VZ) and American Express (AXP) reporting on Friday. However, attention is now turning to the upcoming earnings from Big Tech giants.
Boeing (BA) shares declined after the company announced a $3.5 billion quarterly loss due to strikes and layoffs.
Oil prices rebounded on Thursday but remained on track for a weekly decline amid uncertainty over Trump's demand for OPEC to reduce crude costs.
Gold prices approached a record high as the US dollar weakened, making the precious metal more attractive.
Data on US manufacturing and services activity for January will be released next week, providing insights into the economy's performance ahead of the Federal Reserve's policy meeting.