- US equities futures rose, adding to the gains gained on Wall Street after Federal Reserve Chair Jerome Powell stated that policymakers had made headway in the fight against inflation, giving investors hope that the central bank's cycle of rate hikes is about to come to an end.
- The S&P 500 and NASDAQ 100 contracts both increased in value, with the latter surpassing the former after the tech-heavy index jumped 2.2% to a four-month high on Wednesday. After hearing about the social network giant's results and repurchase news, Meta Platforms experienced a 20% increase in premarket trading in the US. Amazon, Pinterest, and Alphabet gained ground.
- Even as he forewarned of two more hikes, Powell's statement on Wednesday that the disinflation process has started hinting that the strong tightening cycle is beginning to slow the price growth rate. As traders wager that economic conditions will likely prevent the Fed from the additional rate hikes that policymakers currently predict, positioning in the US swaps markets indicates the Fed is getting closer to reducing rates.
