U.S. stock futures advanced on Friday, building on a rally underpinned by strong showings from financials and technology stocks. Continued momentum in these sectors has helped support a positive outlook for the weekly performance of major averages.
As of 4:43 P.M. (GMT+7), Dow Jones Industrial Average futures ticked up by 0.10%, or 50.20 points, to 49,492.50 points, while S&P 500 futures rose by 0.28%, or 19.60 points, to 6,964.10 points. Nasdaq 100 futures also edged up by 0.47%, or 119.00 points, to 25,666.10 points, following a rebound in equities that ended Wall Street’s two-day decline on Thursday.
The technology sector, especially semiconductors, led the gains. Shares of TSMC surged 4.4% following strong fourth-quarter earnings and an announced increase in capital expenditure for 2026, which the market interpreted as a signal of robust demand for artificial intelligence.
Other technology names saw similar strength, with Nvidia rising 2.1% and Applied Materials gaining 5.6%. The sector also benefited from news of a U.S.-Taiwan trade agreement anticipated to bring $250 billion in chip and technology manufacturing investments to the United States.
Financial stocks mirrored the technology surge after major banks posted better-than-expected quarterly results. Goldman Sachs advanced over 4%, and Morgan Stanley was up nearly 6% following their earnings releases. Attention in the sector now shifts to upcoming reports from regional banks such as PNC and Regions Financial.
Despite recent gains, market participants remain attuned to elevated geopolitical risks related to Iran and Greenland, as well as ongoing scrutiny of the Federal Reserve’s policy direction. Recent commentary from Fed officials emphasized their preference to maintain the current interest rate stance as they work to manage inflation.
According to CME FedWatch, there is a 95% probability that rates will remain unchanged this month, with market expectations for the first Fed rate reduction in June 2026.
Although Wall Street recovered on Thursday, major indexes are still poised for a weekly loss, marking the first period of heightened volatility in the new year. The S&P 500 has declined around 0.3% since Monday, the Nasdaq Composite is down about 0.6%, and the Dow has slipped slightly for the week.
