Nasdaq: Higher Inflation Can’t Derail Gains: What to Expect Friday

Jaxon Gaines
us stock markets
Source: Victor J. Blue / Bloomberg

Inflation data for September 2024 came in a bit higher than consumers would’ve wanted, yet is still trending downwards. The Nasdaq was able to turn a moderate point downtick in the early hours of stock trading into a slight 0.2% gain in the afternoon heading towards closing hours. The overall Nasdaq composite is down 46 points due to the inflation report.

Indeed, US inflation figures have fallen to 2.4% in September 2024. Indeed, the latest US Consumer Price Index (CPI) report shows that inflation is falling even closer in line with the Federal Reserve’s target. The data also shows a second straight month of decline, following last month’s interest rate cut. Currently, the market expects another half-percentage point cut in November, similar to the September cuts

As of writing, the NASDAQ Composite (^IXIC) is down to 18,260.70.

Also Read: US Stock That Delivered 100% Profit in 2024 Predicted to Rise 37% Next

How Will Markets Perform Friday? Will Nasdaq Climb?

This Friday will be an important one for investors in tech, as the tech-heavy composite index remains on track for a potential fifth straight week of gains. The tech industry has flourished from big companies performing well, including Tesla (TSLA) with its Robotaxi event Thursday. CEO Elon Musk is expected to reveal a two-door, butterfly-wing prototype of the new cybercab.

The market as a whole has brushed off the new inflation data, and will likely do so in opening hours on Friday. The Nasdaq has performed well on Fridays for the last few weeks, and the trend is expected to continue Friday. However, that could change if the Tesla Robotaxi event doesn’t go well. One consistent positive gear in the Nasdaq though has been AI technology, in particular chip maker Nvidia.

In addition, chip developer Nvidia (NVDA) climbed more than 1% as it eyed a rise to a record high, while e-commerce giant Amazon (AMZN) also rose. Both of these gainers helped the Nasdaq pare earlier losses and execute its rebound as the market came to a close.