Dow Futures Set to Trade Sunday Night Alongside Major Indexes
Dow Jones Industrial Average futures will begin trading at 6 p.m. Eastern Time Sunday, simultaneously with S&P 500 and Nasdaq 100 futures. Although the U.S. markets will be closed Monday for Labor Day, futures trading will continue through the long weekend. Investors are closely monitoring midweek events, especially Apple’s product launch and a critical inflation report, which are expected to influence near-term market direction.
Semiconductor Stocks Lead Gains with Nvidia, Micron, and Sandisk Showing Strength
Last week’s U.S. equity markets showed choppy trading amid rising oil prices and higher Treasury yields. Major indexes managed to reclaim their 21-day moving averages by week’s end. The chip sector stood out with robust performance—Nvidia’s shares climbed roughly 5.9%, reaching $230.36 and surpassing a technical cup handle buy signal at $227.92. Micron Technology and Sandisk also delivered strong weekly gains of 9% and 17.2%, respectively, boosting memory-chip stocks. South Korea’s SK Hynix and Taiwan Semiconductor Manufacturing Company (TSMC) rallied strongly on Friday, with TSMC reclaiming its 50-day moving average at $428.91.
Apple’s Upcoming Product Launch Marked by CEO John Ternus’s Debut
Apple is scheduled to unveil new products at a keynote titled “Wonderlust” on Wednesday at 10 a.m. Pacific Time. This event will be the first major presentation led by Apple’s new CEO, John Ternus. Expectations include the anticipated release of Apple’s first foldable iPhone, likely priced at a premium, alongside updates to the Apple Watch and AirPods. However, recent reports note manufacturing challenges have delayed foldable iPhone shipments, which contributed to Apple’s 2.5% share decline last Friday to $319.97 and a marginal 0.1% gain for the week. The stock currently finds support near $320 with a potential buy point around $344.57.
Market Volatility Persists As Sector Rotation Challenges Investors
While major indexes remain relatively steady, rebounding from midweek lows, sector rotation is occurring rapidly. Software stocks faced a notable pullback, whereas chip and AI-related shares performed better, though their sustainability remains uncertain. The U.S. 10-year Treasury yield rose 6 basis points to 4.78%, marking a 19-month high amid growing expectations for a September 16 rate hike. Meanwhile, crude oil prices surged, with Brent and WTI advancing about 10% last week to top $91 per barrel.
Mixed ETF Performances Highlight Divergent Sector Interest
Growth-focused ETFs showed divergent trends—iShares Expanded Tech-Software ETF (IGV) fell 4.5%, while VanEck Semiconductor ETF (SMH), which includes holdings like Nvidia, TSMC, and Micron, rose 2.5%. ARK Innovation ETF (ARKK) gained nearly 2%, although ARK Genomics ETF (ARKG) slipped about 1.1%. Energy and healthcare ETFs posted modest gains, contrasting with flat performances in financials and industrials.
Recent weeks’ market activity underscores the advanced volatility driven by economic data and corporate developments. Semiconductor stocks including Nvidia, Micron, Sandisk, and TSMC particularly stand out with positive momentum, offering selective buying opportunities. As investors prepare for upcoming inflation releases and the Apple event, a measured, phased investment approach with close attention to evolving market signals and sector trends is advisable.