S&P 500 Poised for 5th Consecutive Gain as Dow and Nasdaq Edge Higher

US Equity Futures Rise Amid Mixed Sentiment on Trade and Economic Impact

Ahead of Friday’s opening bell, US stock futures showed modest gains, positioning the major indexes for a potential fifth straight day of advances. The S&P 500 futures increased by 0.2%, extending the broad market’s recent rally. Meanwhile, Dow Jones Industrial Average futures climbed over 0.3%, and the Nasdaq 100 futures added 0.2%, reflecting cautious optimism among investors.

The week started strong on the back of a surprise rollback in US-China tariffs, which rekindled appetite for risk assets. However, this enthusiasm has been tempered by concerns over the economic effects of tariffs, highlighted by Walmart’s recent warning about tariff-driven price increases impacting consumer costs.

Investor Focus: Consumer Sentiment and Trade Developments

Market participants are closely watching Friday’s University of Michigan consumer sentiment survey for May, which may provide fresh insights into how US consumers are responding to tariff-related inflation pressures. The April survey had revealed a dip in sentiment alongside rising inflation expectations, which contrasted with more recent inflation data showing some easing.

The trajectory of the US-China trade relationship remains a key market driver. While the 90-day pause on tariff hikes has provided temporary relief, uncertainty persists. Reports indicate that Beijing considers the pause too brief, while investors expect the US to maintain the existing 30% tariff level on Chinese goods through late 2025, according to Bloomberg.

Highlights:

• S&P 500 futures up 0.2%, aiming for a fifth consecutive daily gain.

• Dow futures rose over 0.3%, Nasdaq futures up 0.2%.

• US-China trade tensions ease temporarily after tariff rollback.

• Walmart warns of tariff-induced price hikes affecting consumer spending.

• May University of Michigan consumer sentiment survey expected today.

• Investors watch for fresh trade deal developments and tariff outlook.