US Stock Market Steady as S&P 500, Nasdaq Futures Maintain Gains Amid Record Rally; Allbirds Shares Experience Significant Decline

US Stock Futures Trade with Modest Gains as Investors Pile into Equities

On Thursday, April 16, US stock futures traded with modest gains, following a previous session where two of the three major indices hit record highs. This optimism was fueled by hopes of a potential ceasefire between the US and Iran, as well as strong corporate earnings. The futures for the three key indices - the Dow Jones Industrial Average, the S&P 500, and the Nasdaq - were up between 0.1% and 0.2%.

| Index | Previous Record High | Thursday's Gain | | --- | --- | --- | | S&P 500 | 7,026 points | 0.1% | | Nasdaq 100 | Intraday Record High | 1.4% | | Dow Jones Industrial Average | 4% below Record High | 0.2% |

The S&P 500 touched a fresh record high of 7,026 points during Wednesday's session, with financials and technology stocks leading the gains. The Nasdaq 100, in the midst of its longest winning streak since 2019, rose 1.4% to hit its own intraday record. Small-cap stocks also gained ground, with the Russell 2000 index trading about 0.8% below its intraday record high. The Dow Jones Industrial Average remains around 4% below its record high.

Sentiment towards equities improved on hopes of a second round of negotiations between the US and Iran to end the month-long conflict. US President Donald Trump said late Wednesday on Truth Social that leaders from Israel and Lebanon would speak the next day in a renewed effort to broker a ceasefire, after the countries' first direct talks in decades ended in Washington without a deal. Recent media reports suggest that Washington and Tehran are considering extending their two-week ceasefire to allow more time for negotiations, even as the Strait of Hormuz remains effectively closed under a dual blockade.

The White House reportedly said any further talks with Iran would likely take place in Islamabad, though no decision has been made on whether to resume negotiations. Sentiment was further supported after a senior Israeli official said the country's cabinet met on Wednesday to discuss a possible ceasefire in neighboring Lebanon, which could remove a key obstacle to a broader peace agreement. President Donald Trump has also indicated that Washington could still reach a deal with Tehran, according to Reuters.

Pre-market movers included Voyager Technologies, which rose 7.4% after NASA signed an order for the company to conduct the seventh private astronaut mission to the International Space Station - its first such mandate. Sneaker maker Allbirds slumped 30% after surging nearly sevenfold in the previous session on enthusiasm around its pivot to artificial intelligence. Among other stocks, US beverage giant PepsiCo gained 0.7% in premarket trading after beating quarterly profit estimates, while Travelers fell 3.1% following its results. Charles Schwab and several other companies are set to report later in the day, while Netflix is scheduled to release its earnings after market close, as per the Reuters report.

Most banks that have reported earnings so far this week have surpassed estimates, indicating that the consumer remains financially resilient and easing concerns about the strength of the US economy.