U.S. stock futures fluctuated between gains and losses on Friday, following a three-day winning streak. Major benchmark index futures were mixed in premarket trading.
The U.S. and U.K. sealed a bilateral trade deal, cutting tariffs, boosting industrial ties, and securing billions in new market access.
A central component of the trade agreement involves the U.S. significantly reducing tariffs on cars made in the UK, bringing them down from 25% to 10% and establishing an annual quota of 100,000 vehicles.
The U.K. will eliminate tariffs on American-made cars, including those from General Motors Co. (NYSE:GM) and Ford Motor Co. (NYSE:F), and expedite their passage through customs.
Meanwhile, the 10-year Treasury bond yielded 4.37% and the two-year bond was at 3.86%. The CME Group’s FedWatch tool‘s projections show markets pricing an 82.9% likelihood of the Federal Reserve keeping the current interest rates unchanged in its June meeting.
| Futures | Change (+/-) |
| Dow Jones | -0.15% |
| S&P 500 | 0.07% |
| Nasdaq 100 | 0.17% |
| Russell 2000 | -0.23% |
The SPDR S&P 500 ETF Trust (NYSE:SPY) and Invesco QQQ Trust ETF (NASDAQ:QQQ), which track the S&P 500 index and Nasdaq 100 index, respectively, were slightly higher in premarket on Friday. The SPY was up 0.004% to $565.08, while the QQQ advanced 0.17% to $489.10, according to Benzinga Pro data.
Cues From Last Session:
Industrials, consumer discretionary, and energy sectors led a broad market rally on Thursday, propelling U.S. stocks higher. The Dow Jones was bolstered by the Donald Trump administration’s inaugural major trade agreement with the United Kingdom.
However, the health care and utilities sectors diverged from the positive trend, closing lower.
On the company-specific front, U.S. Foods Holding Corp. (NYSE:USFD) reported first-quarter earnings that fell short of expectations, while Sezzle Inc. (NASDAQ:SEZL) shares surged by 42% following the company’s release of better-than-anticipated first-quarter results and an upward revision of its FY25 guidance.
In terms of economic data, U.S. initial jobless claims saw a decline, dropping by 13,000 to 228,000 for the week ending May 3, slightly below market projections. 1 Conversely, U.S. labor productivity in the nonfarm business sector experienced a 0.8% decrease during …