S&P futures declined on Thursday following a session in which the major averages recorded gains. Investors are anticipating the forthcoming quarterly results from retail behemoth Walmart, scheduled for release in the morning. Futures associated with the Dow Jones Industrial Average declined by 183 points, representing a decrease of 0.4%. S&P 500 futures declined by 0.3%, whereas Nasdaq 100 futures fell by 0.4%. The S&P 500 on Wednesday recorded an increase of nearly 0.6%, whereas the Nasdaq Composite experienced a gain of 0.8%. The 30-stock Dow increased by 129 points, representing an approximate 0.3% rise. The indexes experienced upward momentum, driven by advancements in the “Magnificent Seven” technology stocks, alongside robust performance in the financial and energy sectors. Nvidia experienced an increase of 1.6%, whereas Amazon saw a rise of 1.8%.
“A rebound in mega-cap stocks, along with a pause in the rotation and broadening theme that has defined market performance this year, would not be surprising in the weeks ahead,” stated Angelo Kourkafas. “Selling has been broad and indiscriminate, and in some cases, valuations may already reflect a substantial degree of disruption risk relative to current fundamentals,” he added. Kourkafas noted that while pessimism in the tech sector may have been exaggerated, the likelihood of the group “regaining sustainable leadership remains doubtful” given that the macroeconomic environment continues to favor cyclical stocks.
On Wednesday, geopolitical volatility resulted in an increase in oil prices exceeding 4%. The action followed remarks from Vice President JD Vance, who indicated that Iran failed to meet essential U.S. requirements during this week’s nuclear discussions. He stated that President Donald Trump retains the authority to employ military force should diplomatic initiatives fail to halt Iran’s nuclear program. In other developments, investors assessed the minutes from the Federal Reserve’s January meeting, which indicated a divergence among central bank officials regarding the future trajectory of monetary policy. Walmart is set to release its fourth-quarter earnings report on Thursday morning. The company’s results are frequently regarded as an indicator of the U.S. economy and consumer expenditure trends.
Walmart’s shares have experienced significant growth in 2026, increasing by over 13%. The retailer’s market capitalization has recently positioned it within the $1 trillion club, indicating that the stock’s response could influence the trajectory of the major averages. Market participants will be closely monitoring the weekly jobless claims data set to be released on Thursday, in addition to the forthcoming report on pending home sales. This week’s key economic release will be the personal consumption expenditures price index, scheduled for Friday, which serves as a favored inflation measure for the Federal Reserve.