Last Updated: 4:01 PM EST
Stock indices finished today’s trading session mixed. The Nasdaq 100 (NDX) and the S&P 500 (SPX) gained 0.22% and 0.01%, respectively. Meanwhile, the Dow Jones Industrial Average (DJIA) fell 0.43%.
Separately, the U.S. new home sales market got off to a slow start in 2025, with sales plunging 10.5% in January to a seasonally adjusted rate of 657,000 units. This drop was attributed to high mortgage rates, record home prices, and cold weather, which kept potential buyers on the sidelines. The sales rate was lower than expected and marked a three-month low.
According to economists, the cold weather was a significant factor in the decline. However, many buyers are also hesitant to purchase homes due to expensive borrowing costs, with mortgage rates remaining above 7%. To counter this, homebuilders are offering incentives to budget-conscious buyers. PulteGroup (PHM) CEO Ryan Marshall noted that while affordability is a challenge, he believes the economy will find ways to address it.
Despite the current challenges, major homebuilders like DR Horton (DHI) are optimistic about the upcoming spring selling season. Wall Street analysts agree, but they emphasize that a stable mortgage rate environment is important for a successful selling period. With median home prices rising to $446,300 in January, buyers will be watching mortgage rates closely as they consider purchasing a new home.
First Published: 4:18 AM EST
U.S. stock futures traded higher on Wednesday morning, as investors eagerly awaited Nvidia’s (NVDA) fourth-quarter earnings report due today. Futures on the Nasdaq 100 (NDX), the Dow Jones Industrial Average (DJIA), and the S&P 500 (SPX) were up 0.67%, 0.26%, and 0.43%, respectively, at 4:07 a.m. EST, February 26.
In the previous trading session, the S&P 500 and Nasdaq Composite (NDAQ) were down 0.5% and 1.4%, respectively. This marked the fourth consecutive day of decline, primarily driven by a sell-off in tech stocks. On the other hand, the Dow Jones managed a slight gain of 0.4%.
The market sentiment was impacted by concerns about the economy’s health, caused by the recent weak Consumer Confidence report and disappointing Retail Sales data.
Nvidia’s fourth-quarter earnings, due after the closing bell, will take center stage today. The report is particularly important as it follows recent concerns about the sustainability of the AI rally, triggered by China’s AI startup DeepSeek.
Analysts suggest that Nvidia is likely to beat estimates but fear the market may be disappointed if the results fail to exceed the already high expectations.
Other companies reporting earnings today include Snowflake (SNOW), Lowe’s (LOW), Virgin Galactic (SPCE), IonQ (IONQ), eBay (EBAY), C3.ai (AI), and Salesforce (CRM).
Beyond corporate earnings, traders are closely watching key economic data points scheduled for release today, including New Home Sales and Building Permits.
Meanwhile, the U.S. 10-year treasury yield was down, floating near 4.304%. Simultaneously, WTI crude oil futures are trending higher, hovering near $68.97 per barrel as of the last check.
Elsewhere, European indices opened higher on Wednesday as investors focused on a slew of corporate earnings due today. Also, the potential minerals deal between Ukraine and the U.S. raised hopes of easing tensions and helped uplift market sentiment.
Asia-Pacific Markets Traded Mixed on Wednesday
Asia-Pacific indices were mixed today, reflecting Wall Street’s losses due to weak U.S. economic data and lower Treasury yields. Importantly, the Hong Kong stock market posted strong gains as investors looked forward to the country’s deficit reduction plan.
Notably, Hong Kong’s Hang Seng Index rallied 3.27%. Further, China’s Shanghai Composite and Shenzhen Component indices were up 1.02% and 0.93%, respectively. However, Japan’s Nikkei and Topix indices closed lower by 0.25% and 0.3%, respectively.
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