U.S. Stock Futures Advance on Softer Inflation, but Weekly Losses Still Loom

U.S. stock index futures edged higher on Friday, extending gains from the previous session after softer-than-expected November inflation data revived hopes of additional Federal Reserve rate cuts in the coming year.

By 05:55 ET (10:55 GMT), Dow Jones futures were up 40 points (+0.1%), S&P 500 futures gained 0.3%, and Nasdaq 100 futures climbed 0.4%, led by a rebound in technology-linked names.

Wall Street closed higher on Thursday, snapping a four-day losing streak as a cooler U.S. consumer price index (CPI) reading boosted expectations that the Fed could further ease policy in 2026. Despite the late-week recovery, major benchmarks remained on track for weekly declines, with the S&P 500 and Dow Jones Industrial Average down around 0.8%–1%, and the Nasdaq Composite also lower by about 0.8% week to date.

Inflation data lifts sentiment, but December seen as key

Market optimism followed a softer November CPI print, which strengthened bets that inflationary pressures are gradually easing. However, several analysts cautioned against overinterpreting the data.

Goldman Sachs noted that November’s reading was still affected by distortions linked to October’s government shutdown and was “unlikely to move the needle” for the Fed. According to the bank, December inflation data will be far more influential in shaping the central bank’s policy outlook.

Looking beyond near-term volatility, Goldman Sachs expects the global equity bull market to broaden in 2026, with gains spreading beyond U.S. technology stocks as earnings growth improves across regions. The bank forecasts around 13% price gains for global equities next year, rising to about 15% including dividends, driven primarily by earnings expansion rather than higher valuations.

Corporate movers: Oracle rebounds, Nike stumbles

In premarket trading, Oracle (NYSE:ORCL) shares surged about 5%, supported by reports that the company is part of a U.S.-led consortium seeking to acquire TikTok’s U.S. operations. Analysts at Mizuho said such a deal could bolster demand for Oracle’s higher-margin, non-AI cloud services.

Oracle also benefited from reports that OpenAI is seeking to raise at least $100 billion at a valuation of roughly $830 billion, underscoring continued investor appetite for AI-related growth. Still, Oracle shares remain sharply lower over the past month, weighed down by concerns over stretched AI valuations and the sustainability of heavy capital spending.

Elsewhere, FedEx (NYSE:FDX) slipped slightly despite posting better-than-expected fiscal second-quarter earnings, as management warned that macroeconomic conditions remain challenging. The results were largely driven by aggressive cost-cutting efforts.

In contrast, Nike (NYSE:NKE) tumbled around 10% after reporting declining margins and another drop in revenue from Greater China, marking its sixth consecutive quarterly sales decline in the region. Management acknowledged the need to reassess its China strategy, a key market that contributes roughly 15% of total revenue.

Market outlook

While softer inflation data has provided short-term relief, investors remain cautious heading into year-end, balancing hopes of Fed easing against concerns over growth momentum, elevated valuations—particularly in tech—and uneven corporate earnings performance.