As Thursday, August 14, 2025, dawns, U.S. stock markets are poised for a cautious open, with premarket trading indicating a measured approach from investors ahead of crucial economic data releases. Futures tied to the major indexes are showing limited movement, reflecting a wait-and-see sentiment as the market digests recent inflation figures and anticipates further insights into the Federal Reserve's monetary policy path.
Premarket Trading and Futures Movements
Early indications from futures markets suggest a relatively flat to slightly lower open for the broader U.S. equities. Dow Jones Industrial Average (DJIA) futures are holding steady near 45,000, showing little change in early European trading, as traders exercise caution. Similarly, S&P 500 (SPX) futures are down approximately 0.8% to trade near 6,450, while Nasdaq 100 (NDX) futures have also declined by about 0.8%, trading near 23,900. This subdued premarket activity comes after a strong performance on Wednesday, where all three major indexes closed higher, with the S&P 500 and Nasdaq Composite reaching new record highs. The market's current posture underscores the sensitivity to upcoming economic figures, which could significantly influence the Federal Reserve's policy outlook.
Current Performance of Major Market Indexes
Wednesday's trading session saw a robust rally, with the Dow Jones Industrial Average surging 1.04%, the S&P 500 climbing 0.32%, and the Nasdaq Composite rising 0.14%. The S&P 500 and Nasdaq Composite both achieved new record highs, extending a rally driven by growing anticipation of interest rate cuts later in the year. The Dow Jones Industrial Average, in particular, closed just 0.2% shy of its first record close since December, signaling broad-based market strength. This upward momentum has been fueled by market expectations for rate cuts, especially after the Consumer Price Index (CPI) data released on Tuesday, August 12, showed a moderate increase, reinforcing a dovish sentiment around the Fed's policy.
Important Upcoming Market Events
Today, Thursday, August 14, 2025, the economic calendar features two significant data points that investors will be closely watching: the Producer Price Index (PPI) and weekly Initial Jobless Claims. The PPI data, due out this morning, will provide further insights into inflationary pressures at the wholesale level, following Tuesday's Consumer Price Index (CPI) report, which saw headline CPI up 0.2% month-over-month in July. A softer PPI could further bolster expectations for a September interest rate cut by the Federal Reserve. Indeed, the CME's FedWatch tool currently suggests a nearly 96% chance of a 25 basis point rate cut at the September meeting, a sentiment reinforced by recent comments from U.S. Treasury Secretary Scott Bessent and even President Donald Trump, advocating for lower rates. Looking ahead, Friday, August 15, will bring the July retail sales report, which is expected to indicate continued strong consumer spending. These economic releases are critical as they provide the Federal Reserve with the data points necessary to inform their future monetary policy decisions.
Major Stock News and Developments
Several companies are making headlines in today's market, influencing individual stock movements. In corporate earnings, Cisco Systems (CSCO) reported its fiscal fourth-quarter revenue, beating consensus estimates. Other companies expected to release earnings this week include Applied Materials (AMAT), NetEase (NTES), Nu Holdings (NU), JD.com (JD), and Tapestry (TPR).
On the news front, AMD (AMD) saw a significant rise of 5.4% in Wednesday's session, while Paramount Skydance (PARA) soared an impressive 36.7%. However, several mega-cap technology stocks experienced declines on Wednesday, including Microsoft (MSFT), Tesla (TSLA), Nvidia (NVDA), Alphabet (GOOGL), and Meta Platforms (META), indicating some profit-taking or sector rotation.
In other notable movements, Astera Labs (ALAB) continued its upward trajectory, soaring on strong Q2 revenue driven by AI data center demand. Conversely, Trade Desk (TTD) shares were battered following a lackluster Q2 report and the departure of its CFO. AppLovin (APP) surged due to multiple positive catalysts, while Fortinet (FTNT) faced a swath of downgrades. Shares of Intuitive Machines (LUNR) are falling in extended trading after announcing a proposed private offering, and Coherent (COHR) shares tumbled on news of selling its aerospace and defense business. Warner Bros. Discovery (WBD) rose after announcing a partnership to launch a bundling package in Southeast Asia. Meanwhile, Eli Lilly (LLY) saw its stock drop after trial data for its oral obesity drug weighed on Q2 results. The market remains dynamic, with company-specific news continuing to drive significant individual stock movements amidst broader economic considerations.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.