U.S. equity futures surged on Thursday after the Federal Reserve cut interest rates by 25 basis points and signaled it may deliver further easing to prioritize a weakening labor market. The move propelled the S&P 500 and Nasdaq futures to fresh record highs.
The semiconductor sector grabbed headlines. Intel shares skyrocketed 31% in premarket trading after Nvidia announced a $5 billion investment in the company, despite no production deal being signed. Nvidia gained 2.6%, while AMD slipped nearly 3%.
As of 7:12 a.m. ET, Dow futures were up 0.7%, S&P 500 futures gained 0.9%, and Nasdaq 100 futures climbed 1.2%. Small caps also joined the rally, with Russell 2000 futures up 1.6%.
Concerns over the Fed’s independence eased after efforts to remove board member Lisa Cook failed, helping extend Wall Street’s upward momentum. AI-related stocks continued to drive gains. Among movers, CrowdStrike rose 6% after a target price upgrade, Nike advanced 1.9% following a Royal Bank of Canada upgrade, while Nucor fell 3.8% on weak profit guidance.
