U.S. Stock Index Futures Steady as Investors Enter Another Holiday-Shortened Week

U.S. stock index futures were little changed on Sunday evening, as investors approached another holiday-shortened trading week with caution following a strong year-end rally in equities.

By 20:24 ET (01:24 GMT), S&P 500 futures were trading flat near 6,977.0 points, while Nasdaq 100 futures edged down 0.1% to 25,846.75 points. Dow Jones futures also showed minimal movement, hovering around 49,018.0 points.

Trading activity is expected to remain subdued, with many market participants away from their desks ahead of the New Year holidays, keeping price movements relatively limited.

Wall Street ended last week on a strong footing, with the S&P 500 reaching a record high on Friday, extending gains driven largely by a rebound in technology stocks.

Large-cap growth names — which had come under pressure earlier in the month — regained momentum as investors rotated back into sectors viewed as long-term beneficiaries of artificial intelligence and easing financial conditions.

Sentiment has also been supported by expectations that the Federal Reserve is nearing the end of its tightening cycle, with markets continuing to price in potential interest-rate cuts next year. Softer inflation readings in recent weeks have reinforced speculation that policy easing could begin in 2026, providing additional support for risk assets.

The recent upswing into late December has also renewed focus on the so-called “Santa Claus rally,” a seasonal pattern referring to gains typically seen during the final five trading sessions of the year and the first two sessions of January.