Stock index futures pointed to a mixed open Thursday as investors braced for the latest growth figures.
Nasdaq 100 futures (NDX:IND) +0.4% gained as Tesla rallied on bullish sales outlook. S&P futures (SPX) +0.2% and Dow futures (INDU) showed less conviction.
“Ultimately, Tesla is firmly back on the road to growth and maintains an enviable market position,” Hargreaves Landsdown analyst Sophie Lund-Yates said. “However, there are some clouds gathering on the horizon on both an economic and industry level. Both of those have the potential to seriously squeeze margins.”
Rates were little changed ahead of the data. The 10-year Treasury yield (US10Y) rose 1 basis point to 3.47%. The 2-year yield (US2Y) rose 1 basis point to 4.14%.
The first measure of Q4 GDP arrives before the bell and economists predict a drop to a pace of 2.6%.
“The fourth quarter was when the impact of falling real wage growth started to hit consumers as savings and credit became exhausted (for some),” UBS’ Paul Donovan wrote. “However, the consumer was still strong at the start of the quarter, offering support.”
“How is growth positive when sentiment data is negative? For the same reason we elect governments using elections not opinion polls – sentiment is not the same thing as reality.”
At the same time, durable goods orders for December arrive. The forecast is for a reversal from November to a gain of 2.5%, with core orders down 0.2%. Weekly initial jobless claims are also due. The consensus is for a rise to 205K.
Shortly after the start of trading, there will be data on December new home sales. Economists are looking for drop to a pace of 617K.