In today’s trading session, the S&P 500 index futures witnessed a reversal of fortunes. Despite the bulls steering the premarket session, “sell the rip” sentiment prevailed as the regular session unfolded.
The overnight strength in the index futures was further bolstered during premarket hours by General Motors Co. (NYSE: GM) announcing a $10B share buyback, along with reinstated FY23 guidance and an increased dividend. Additionally, revised Q3 GDP data (5.2% vs. 5.0% expected, 4.9% previous), initially triggered small selling pressure at 8:30 AM ET.
By the opening bell, the index maintained its stance above last week’s high of 4580.50, sparking an initial rally. The index approached September’s high of 4597.50 within the first half-hour but fell short by a mere half-handle. Subsequently, the bears took the reins, pushing the index back to the previous day’s closing level. The bulls attempted to cling onto gains for most of the afternoon, but the final two hours saw a bearish resurgence, dragging the index into the red.
Despite a brief recovery attempt before the close, the index futures concluded with a loss of 3.75 handles, settling at 4559.25. This marks the fifth consecutive closure in a narrow nine-handle range (4559.25-4568.25).
In the ranks of the top components of the index, NVIDIA Corporation (NASDAQ: NVDA) emerged as the biggest winner. The semiconductor giant, buoyed by an expanded partnership with Amazon.com, Inc. (NASDAQ: AMZN) to enhance AI services for customers, advanced 0.67% or $3.19, closing the day at $481.40.
This performance outpaced the cash index’s loss of 0.09% by nearly one percent.
On the flip side, Meta Platforms Inc. (NASDAQ: META) bore the brunt of the day’s losses among the top S&P 500 components. The tech behemoth slid 2.00% or $6.79, ending the session at $332.20.
