Pre-Market | Federal Reserve Signals Rate Cuts Amid Global Capital Outflows

18 Jul., Amid Federal Reserve officials signaling potential rate cuts to support the economy, trade tensions and fiscal concerns contribute to reduced global capital inflows into US equities, reflecting policy uncertainties. Meanwhile, DOW FUTURES up 0.19% in pre-market, NASDAQ FUTURES up 0.09% in pre-market, S&P FUTURES up 0.15% in pre-market.

Interactive Brokers Group rose 5.15% in pre-market trading, driven by strong Q2 earnings that exceeded Wall Street estimates. Chevron also saw a significant rise of 3.84% in pre-market, following the successful mediation for Guyana oil assets, which cleared hurdles for its acquisition of Hess. Meanwhile, Netflix dropped 2.44% in pre-market, as a disappointing margin forecast offset positive revenue and guidance results. Sony Group also experienced a decline, dropping 1.60% in pre-market, after Cullen Frost Bankers reduced its holdings in the company.

In pre-market trading, Telomir surged over 159% following the announcement of positive early laboratory data for Telomir-1. Meanwhile, Blaize Holdings climbed nearly 87% after securing a $120 million AI infrastructure contract for deployment in Asia-Pacific markets. On the downside, LQR House plummeted over 63% after being named in a lawsuit seeking an asset freeze and receiver appointment. Additionally, Northern Dynasty dropped nearly 46% due to significant investor sell-off triggered by insider selling activities.

Global equity inflows to U.S. stocks declined sharply due to trade wars, high fiscal deficits, and political uncertainty, reducing confidence in U.S. assets as foreign investors saw diminished safety amid policy instability. Meta Platforms refused to sign the European Union's artificial intelligence conduct code, reflecting ongoing regulatory tensions in the technology sector. NVIDIA's CEO met with China's commerce minister to discuss expanding artificial intelligence collaborations and market opportunities. Federal Reserve Chair Jerome Powell faced a Justice Department investigation over alleged perjury related to costly headquarters renovations, potentially impacting monetary policy credibility.