Tech Shares Lead the Decline in US Futures Ahead US Data – Europe Market Wrap

US equity futures indicated to a softer start on Wall Street as traders prepared for a flood of economic data that will help determine the fate of monetary policy.

Contracts on the Nasdaq 100, a technology-heavy index, lost 0.4%. Nvidia, which has led a rise among chipmakers in the AI mania, fell as much as 2.1% in premarket trading. S&P 500 futures fell 0.3%. In Europe, the STOXX 600 index fell as investors analysed the latest earnings.

Aside from earnings, emphasis is focused on US GDP and inflation figures, as well as a strong lineup of central bank speakers. Investors are dealing with a decline in expectations for how much the Fed and ECB would decrease interest rates.

Traders have been pricing in only 75 BPS of US easing by year-end, which is consistent with what Fed policymakers signalled in December as the most likely conclusion. Treasury yields fell Wednesday, as the dollar index rose to its highest since February 20th.

Cryptocurrency-linked stocks rose as Bitcoin surged for the sixth day, putting it on course for its greatest monthly gain since October 2021. The debut of spot Bitcoin exchange-traded funds in the United States in early January triggered a rush in buying, overriding fears about slower Fed rate cuts. Bitcoin surpassed $59,000 on Wednesday, up over 40% this month