Traders work on the floor of the New York Stock Exchange.
NYSE
Stock futures came slightly under pressure Wednesday night after a continued market rotation powered the Dow Jones Industrial Average to fresh highs.
Futures tied to the Dow Jones Industrial Average lost 26 points, or nearly 0.1%. The S&P futures shed 0.2%, while Nasdaq 100 futures declined about 0.3%.
Wednesday again saw a divergence between technology stocks and other pockets of the market as value-oriented sectors such as health care outperformed. The rotation has been a relief for some investors looking for a broadening out of the market, but it could also signal growing caution away from risk-on assets.
The Dow on Wednesday hit its first record close above 48,000, putting the 30-stock index on pace for its best weekly performance since late June. The S&P 500 settled up slightly above the flatline to post four straight days of gains, meanwhile, and the tech-heavy Nasdaq Composite closed the day in the red.
“We have rebounded in dramatic fashion from the April lows,” said Eric Teal, chief investment officer at Comerica Wealth Management. “Most importantly, the market is broadening out beyond just growth and technology, including industrials, financials, and healthcare. Small-cap stocks are also participating in the rally as lower short-term interest rates have been a harbinger for small-cap outperformance.”
Investors had been optimistic that the U.S. government shutdown — the longest in history — would end after lasting six weeks. The House of Representatives approved a short-term funding bill, by a vote of 222-209, ending the current impasse until at least the end of January. President Donald Trump has said he would sign it.
The extended stoppage caused investors to fly blind without key economic reports, such as the October jobs report and inflation data, and contributed to the market’s recent choppiness. White House press secretary Karoline Leavitt told reporters on Wednesday that these reports may ultimately never be released, and that the shutdown could lower fourth-quarter economic growth by up to 2 percentage points. Most economists expect minimal impact to U.S. GDP, however.
Cisco, Firefly Aerospace among stocks moving in extended trading Wednesday
Check out the companies making headlines in after-hours trading.
- Cisco — Shares of Cisco gained more than 7% in extended trading after the networking company posted better-than-expected profit and revenue for its fiscal first quarter. Cisco earned $1 per share, excluding items, on $14.88 billion in revenue, while analysts polled by LSEG expected 98 cents per share on $14.77 billion in revenue.
- Firefly Aerospace — The Texas-based aerospace company saw its shares soar about 18% on the back of strong quarterly results. The company posted a narrower-than-expected adjusted loss for the third quarter and exceeded revenue expectations for the period, according to LSEG. Firefly also said it expects fiscal year 2025 revenue to come out between $150 million to $158 million, higher than the $136 million forecast from analysts polled by LSEG.
- Flutter Entertainment — Shares of Flutter Entertainment, the world’s largest sports betting and gambling company, fell 4% after the company reported a hefty earnings beat but missed revenue expectations, according to LSEG estimates. The Fanduel owner also cut its full-year guidance, citing winning streaks from gamblers. Flutter separately announced its new prediction markets app, FanDuel Predicts, expected to launch in December.
For the full list, read here.
— Pia Singh
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