Market Snapshot: Steady Futures, Nvidia in Focus, Oil Volatile, and Mortgage Demand Slips

  Image Source : Krish Capital Pty Ltd

Index Update: U.S. stock futures were steady as investors awaited Nvidia's earnings for insights on China export restrictions, along with reports from major retailers. Okta shares fell over 12% in after-hours trading after the company reiterated its guidance amid economic uncertainty. Markets had rallied the previous day, boosted by Trump’s delay of a proposed EU tariff and hopes for more business-friendly policies. Attention now turns to the Federal Reserve’s meeting minutes for clues on future monetary policy.

Market Movers: On Tuesday, the top gainers were  SharpLink Gaming, Inc. (+433.18%), followed by LiveWire Group, Inc. (+153.47%). On the contrary Rocket Pharmaceuticals, Inc (-62.84%) and Patriot National Bancorp Inc. (-36.48%) declined the most the same day.

Commodities Update: Oil prices fluctuated as markets awaited the outcome of an OPEC+ meeting expected to approve a production increase of 411,000 barrels per day for July, following a similar rise planned for June. However, official discussions on the hike had not yet occurred, according to Russian officials. Geopolitical tensions added uncertainty, with the U.S. considering new sanctions on Russia over stalled Ukraine peace talks and barring Chevron from exporting Venezuelan crude. Meanwhile, the EU began reviewing U.S. investment data after the U.S. paused its planned tariffs on European goods. Gold prices rose as investors bought the dip, although gains were limited by easing U.S.-EU trade tensions and a stronger dollar. The greenback strengthened following a sharp rebound in U.S. consumer confidence, making dollar-denominated gold less attractive to foreign buyers. Market participants are now focused on the Federal Reserve’s upcoming meeting minutes and PCE inflation data for insights into future interest rate decisions.

Macro Update: U.S. mortgage applications fell 1.2% for the week ending May 23, hitting a three-month low amid rising mortgage rates near 7%. Refinance applications dropped 7.1%, while applications to purchase new homes rose 2.7%, according to the Mortgage Bankers Association. The decline was driven by higher long-term yields tied to fiscal concerns.

Futures Update: U.S. stock index futures edged lower as investors turned their attention to upcoming earnings from AI giant Nvidia. The dip followed a strong performance in the previous session, driven by improved risk sentiment after a delay in U.S. tariffs on the EU and a sharp rebound in consumer confidence, which ended a five-month decline.

Following a sharp rally early in the session, stocks continued their upward momentum throughout Tuesday's trading day. The S&P 500 rose by 118.72 points, or 2.1%, closing at 5,921.54. Technical analysis indicates that the index found support within a demand zone and gradually moved higher, suggesting the possibility of an ongoing short-term upward trend. Additionally, the occurrence of a golden cross between key moving averages signals a potential shift towards a more bullish outlook, which may act as a support level in the near term. Support is expected around 5,777, while resistance is seen near 6,047.