U.S. stocks look set for a positive opening on Friday, with the Dow Jones, S&P 500 and Nasdaq 100 futures rising, following Thursday's lower close.
Investors are awaiting the August CPI data ahead of the opening bell, with economists expecting headline inflation to rise 0.37% month-over-month, driven by a surge in energy prices, while core CPI is projected to hold steady at a modest 0.19% gain.
Yemeni Houthis, backed by Iran, have captured the strategic Red Sea port of Mocha and are consolidating control over the Bab el-Mandeb Strait, creating an additional maritime flashpoint to complement the heavily disrupted Strait of Hormuz.
Meanwhile, the 10-year Treasury bond yielded 4.94%, and the two-year bond was at 4.55%. The CME Group's FedWatch tool projections show markets pricing in a 67.1% likelihood of the Federal Reserve hiking interest rates at its September meeting.
The SPDR S&P 500 ETF Trust (NYSE: SPY) and Invesco QQQ Trust ETF (NASDAQ: QQQ), which track the S&P 500 index and Nasdaq 100 index, respectively, were higher in premarket on Friday. The SPY was up 0.53% at $761.85, while the QQQ rose 0.62% to $713.05.
Adobe
- Adobe Inc. (NASDAQ: ADBE) was down 3.07% in premarket despite posting better-than-expected third-quarter fiscal 2026 results.
- MarketDash's Edge Stock Rankings indicate that ADBE maintains a weak price trend in the long term but a strong trend in the short and medium terms, with a poor value score.
RH
- RH (NYSE: RH) rose 8.19% after posting mixed second-quarter fiscal 2026 results after Thursday's closing bell, beating EPS estimates while revenue came in slightly below expectations.
- MarketDash's Edge Stock Rankings indicate that RH maintains a weak price trend in the long, short, and medium terms, with a moderate value score.
Copart
- Copart Inc. (NASDAQ: CPRT) rose 7.28% after posting mixed fourth-quarter fiscal 2026 results after Thursday's closing bell and announced it will acquire online vehicle auction operator ACV Auctions (NYSE: ACVA).
- MarketDash's Edge Stock Rankings indicate that CPRT maintains a weak price trend in the long term and a strong trend in the short and medium terms, with a solid quality score.
Rocket Lab
- Rocket Lab Corp. (NASDAQ: RKLB) was 1.68% higher after it launched its 16th Electron rocket of the year with a dedicated mission for a confidential customer.
- MarketDash's Edge Stock Rankings indicate that RKLB maintains a weak price trend in the long, medium, and short terms.
Cues From Last Session
Communication services and consumer staples bucked the overall market trend to close higher on Thursday, while materials, information technology, and utilities suffered the biggest losses as U.S. stocks settled lower.
Insights From Analysts
Douglas Beath, Global Equity Strategist at Wells Fargo Investment Institute, expects the U.S. economy and stock market to remain resilient despite near-term headwinds.
While September seasonality, upcoming midterm elections, elevated oil prices, and higher interest rates may introduce volatility or cause pullbacks, he advises investors to stay focused on fundamental drivers.
Specifically, Beath notes that investors will "look beyond the uncertainties of higher interest rates, elevated oil prices, and midterm elections to focus on continued economic growth and robust earnings through year-end and into 2027, supporting higher stock prices."
He emphasizes that massive investments by tech hyperscalers, projected at $2 trillion over two years, will serve as an "important driver of broader economic growth."
Although factors like elevated oil prices "increase the likelihood of a market drawdown," Beath views these short-term dips as "potential buying opportunities for long-term investors."
Overall, he favors U.S. Large Cap Equities and sectors tied to artificial intelligence, including Information Technology, Communication Services, and Materials.
Upcoming Economic Data
Here's what investors will be keeping an eye on Friday.
- August's CPI, core CPI month-over-month, CPI year-over-year, and core CPI year-over-year data will be released by 8:30 a.m. ET.
- September's preliminary University of Michigan consumer survey data will be released by 10:00 a.m., and August's monthly Treasury balance report will be out by 2:00 p.m. ET.
Commodities, Crypto, And Global Equity Markets
Crude Oil WTI futures were trading higher in the early New York session by 2.20% to hover around $100.26 per barrel.
Gold Spot US Dollar fell 0.67% to hover around $4,345.07 per ounce. The U.S. Dollar Index spot was 0.07% higher at the 99.1190 level.
Meanwhile, Bitcoin (CRYPTO: BTC) was trading 1.10% lower at $77,252.93 per coin over the last 24 hours.
Asian markets were lower on Thursday as Japan's Nikkei 225, India's Nifty 50, South Korea's Kospi, China's CSI 300, Hong Kong's Hang Seng, and Australia's ASX 200 indices fell. European markets were mostly higher in early trading.
