U.S. stock futures rose slightly Thursday morning after a fifth straight day of losses for the S&P 500 as Wall Street weighed the likelihood of a recession.
Dow Jones Industrial Average futures rose 30 points, or 0.09%. S&P 500 futures rose 0.11%, while Nasdaq 100 futures were 0.17% higher.
Shares of Rent the runway rose more than 27% in extended trading. The online store topped revenue expectations in the latest quarter, as shoppers chose to borrow designer clothes amid rising inflation.
During the regular session on Wednesday, the S&P 500 fell 0.19% for its fifth consecutive losing session. The Dow was virtually flat, adding just 1.58 points. Meanwhile, the Nasdaq Composite fell 0.51 percent.
The Federal Reserve is expected to post a 50 basis point rate hike next week. It is a smaller increase than the four previous interest rate increases. Nevertheless, investors are increasingly worried about whether the central bank can avoid a recession next year in its attempt to curb inflation.
“We’ve been waiting for earnings to fall, we’ve been waiting for CEOs to acknowledge the fact that a recession is more likely than not, and here we are,” Liz Young, head of investment strategy at SoFi, said Wednesday. on CNBC’s “Closing Bell: Overtime.”
“It’s hard for me to see how we wouldn’t have one. But I think it would be a good thing if we just got it over with,” Young added.
On the economic front, investors await the latest data on weekly jobless claims before the bell rings on Thursday. Economists polled by Dow Jones expect a reading of 230,000, up slightly from last week’s total of 225,000.
Traders await the latest earnings results from Lululemon Athletica, DocuSign, Broadcom and Costco after o’clock on Thursday.