- Nasdaq Futures Up 1.6% as Nvidia Drives Tech Rally: Markets Wrap
Nasdaq futures are up 1.6% as of 6:30 a.m. ET on May 25, led by gains in Nvidia. The chipmaker is up 5% after reporting strong earnings and revenue for the first quarter. Other tech stocks are also higher, with Apple, Microsoft, and Amazon all up more than 1%.
- US Credit Rating at Risk of Fitch Cut on Debt-Limit Impasse
Fitch Ratings has warned that it could downgrade the US credit rating if Congress does not raise the debt ceiling by July 31. The debt ceiling is the maximum amount of money that the US government is allowed to borrow. If the ceiling is not raised, the US could default on its debt, which would have a devastating impact on the economy.
- China Warnings Flash Across Global Markets as Growth Disappoints
Investors are growing increasingly concerned about China’s economy, which is slowing at its fastest pace in decades. The country’s growth slowed to 4.8% in the first quarter, the slowest pace since 1990. This has led to concerns that China’s slowdown could have a negative impact on global growth.
- Fed Notes Inflation Risk as Officials Push Back on Cuts
The Federal Reserve is keeping a close eye on inflation, which is running at its highest level in decades. In a speech on May 24, Fed Chair Jerome Powell said that the central bank is “acutely aware” of the risks posed by inflation. However, he also said that the Fed is not yet ready to raise interest rates.
Overall, the market is looking to end the week on a positive note. However, there are a number of risks that could weigh on the market, including the debt ceiling impasse, China’s slowdown, and inflation. I will be watching closely to see how these risks develop.