Pre Open US - US Indices 22 Aug 2023

S&P 500 and Nasdaq 100 futures both added 0.3% and 0.4%.

The Nasdaq Composite posted its biggest advance of the month during Monday’s main trading session, rising 1.6%. The S&P 500 added close to 0.7%. The two benchmarks snapped a four-day slide, and the Nasdaq notched its biggest one-day advance since August.

Notably, the broad market index and the tech-heavy Nasdaq were able to post gains even as the yield on the 10-year Treasury reached its highest level since November 2007, gaining about 9 basis points to trade at 4.34%. Tech shares historically struggle in a high-rate environment, making the tandem rise with yields on Monday more striking for Wall Street.

On the economic data front, Wall Street will be looking toward the Philadelphia Fed’s nonmanufacturing survey, as well as the Richmond Fed’s manufacturing survey results. Existing home sales data for July is also scheduled for release Tuesday morning.

Traders are also anticipating Fed Chairman Jerome Powell’s remarks at Jackson Hole on Friday for more insight into the Central Bank’s inflation outlook.

Nasdaq is bouncing after coming close to the 14500 level. The short-term selloff is still persistent. The 100MA and also the Fibonacci close to 14400 are making a solid confluence point and the price may face a solid support there.