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Futures up: Dow 0.17%, S&P 500 0.13%, Nasdaq 0.16%
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Applied Digital ( APLD ) rises on quarterly revenue beat
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Levi Strauss slips after downbeat FY profit forecast
(Updates before markets open)
By Niket Nishant and Sukriti Gupta
Oct 10 (Reuters) - Wall Street's main indexes were
poised to open higher on Friday, as investors sought to buy the
dip following a brief pullback, while awaiting the consumer
sentiment data for fresh clues on the economy.
Traders remain bullish on equities despite Thursday's
declines, betting that the artificial intelligence-driven
momentum remains intact. Some analysts expect the AI trade,
mostly concentrated in tech so far, to spill over into energy
and construction firms as demand for data center buildout
accelerates.
"Investors see little pullbacks as opportunities to nibble
in and add more capital. There's just a lot of money sloshing
around in the system," said Aleksandr Spencer, chief investment
officer at Bogart Wealth.
The rally is also driven by a growing fear of missing out,
as some analysts say the nearly three-year-old bull market still
has room to run, especially if the Federal Reserve continues to
lower interest rates.
Recent data has reinforced expectations for easing. While
the government shutdown has delayed official releases, proxies
point to a weakening labor market, with layoffs tied to the
impasse likely to deepen the strain.
At 08:30 a.m. ET, Dow E-minis were up 81 points, or
0.17%, S&P 500 E-minis were up 9 points, or 0.13%, and
Nasdaq 100 E-minis were up 39.25 points, or 0.16%.
A preliminary reading of the University of Michigan's
consumer sentiment survey, due at 10:00 a.m. ET, will be closely
watched, given the added significance it carries because of the
official data blackout.
Investors are also weighing developments in the Middle East,
where Israeli troops began pulling back from some parts of Gaza
under a ceasefire deal with Hamas. Signs of easing tensions
could boost sentiment by removing a long-standing overhang on
equities.
The earnings season, which kicks off next week, is expected
to be the next litmus test for the rally.
Among stocks, Intel ( INTC ) rose 1.9% in premarket trading,
after brokerage TD Cowen raised its price target on the stock.
Data center operator Applied Digital ( APLD ) surged 29.6%, a
day after posting better-than-expected revenue for the first
quarter.
Oracle jumped 1.8% after Citigroup raised its price
target on the stock.
Levi Strauss shares slipped 7.4% after it forecast
annual profit below analysts' expectations.
Qualcomm ( QCOM ) fell 1.3% after China's market regulator
said the country has launched an antitrust investigation into
the semiconductor manufacturer over its acquisition of Israel's
Autotalks.
(Reporting by Niket Nishant and Sukriti Gupta in Bengaluru;
Editing by Anil D'Silva and Shilpi Majumdar)