S&P 500 Futures slips below 3,900 amid consolidation from record top

S&P 500 Futures refresh intraday low amid a quiet session.
Wall Street closed negative following downbeat US CPI, Powell’s repeated words.
Biden-Xi talks kept the Sino-American tension on the table.
Off in China, Japan and a light calendar bore traders in Asia.

Anil Panchal FXStreet

S&P 500 Futures hold lower grounds while extending the previous day’s pullback from record top to 3,897, down 0.15% intraday, during early Thursday. In doing so, the risk barometer also marks a three-day losing streak despite Wednesday’s uptick to 3,928.

Recently, US President Joe Biden talked with his Chinese counterpart Xi Jinping to convey the wishes for the Chinese Lunar New Year. Both the national leaders talked for the first time since US politics changed after the blue wave. However, Biden didn’t refrain from conveying the American dislike for China’s coercive economic policies.

Following sluggish prints of US Consumer Price Index (CPI) data for January, risks sour during Wednesday. The sentiment also took clues from US stimulus gridlock that has been flashing optimistic signs but fail to impress bulls off-late.

It’s worth mentioning that Fed Chair Jerome Powell reiterated the US central bank’s readiness to act when necessary. Though, his comments suggesting the downbeat American employment sector added strength to the bearish moves.

As a result, the US 10-year Treasury yields stretched pullback from March 2020 highs, marked earlier in the week, whereas Wall Street benchmarks also closed in the red.

Looking forward, the US weekly Jobless Claims and updates over the $1.9 trillion covid relief stimulus will be awaited for fresh direction.

Read: US Initial Jobless Claims Preview: The trend's the thing

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

AUD/USD edges higher above 0.7050 as hot CPI lifts RBA rate hike odds

The AUD/USD pair gathers strength to near 0.7055 during the Asian trading hours on Thursday. The Australian Dollar edges higher against the US Dollar as hotter inflation data bolsters expectations of Reserve Bank of Australia rate hikes. The US September Personal Consumption Expenditures inflation report will be in the spotlight later on Thursday.

USD/JPY retakes 158.00 as USD stalls the post-FOMC corrective slide

USD/JPY attracts some dip-buyers during the Asian session on Thursday, climbing back above 158.00 as the US Dollar reverses part of the post-FOMC pullback from a two-week high. Bulls, however, await key US macro data – the Advance Q3 GDP and the PCE Price Index – before positioning for further gains. Focus will then shift to the crucial BoJ policy update on Friday amid firming expectations for a December rate hike.

Gold remains sidelined just above $4,000

Gold leaves behind the recent three-day positive streak and faces renewed selling pressure near the $4,000 mark per troy ounce on Thursday. The precious metal’s daily decline comes amid marginal gains in the US Dollar and mixed US Treasury yields, while crude oil prices remain on the back foot.

Top Altcoins Price Forecast: Ripple and Solana under pressure as Hyperliquid recovers

Ripple is down over 2% on Thursday, extending losses below $1.30 and capped below crucial moving averages. Solana drops 2% so far, testing its 200-day EMA and the $100 psychological level amid mounting selling pressure.

BoJ preview: Hawkish hold

Having hiked rates by 25bp to 1.25% in September, the central messages from the BoJ were largely similar; upside price risks remained, real interest rates were still negative and further policy rate hikes should be expected.

Anthropic pledged $270 billion to Amazon, Google, and Microsoft. Here's who actually gets paid

Anthropic owes Amazon, Google, and Microsoft at least $269.4 billion for computing power, even if it uses less. All three sell its models and handle its billing, and Amazon and Google own stakes and lend it money, so they get paid regardless of how the IPO goes. The Dario Amodei-led Anthropic filed its initial public offering (IPO) on Monday, seeking a listing on the Nasdaq under the ticker ANT.