The Direxion Daily S&P 500 Bear 3X ETF (SPXS) is experiencing upward movement as U.S. stock futures show signs of weakness ahead of key economic data releases. On November 27, 2024, the S&P 500 futures dipped by 0.1% in pre-market trading, reflecting investor caution as they await the Federal Reserve's favored inflation gauge, the core personal consumption expenditures (PCE) price index, set for release at 10 a.m. ET. This index is expected to rise by 0.3% for October, with a year-over-year increase of 2.8%, which could influence the Fed's future rate policy decisions. Additionally, geopolitical uncertainties, including President-elect Trump's proposed tariffs on Chinese, Canadian, and Mexican goods, are contributing to market volatility, further impacting investor sentiment.
The S&P 500's recent performance has been marked by a seven-day winning streak, closing above 6,000 points on Tuesday, November 26. However, the market's current focus on inflation data and potential tariff impacts is creating a more cautious trading environment. The yield on the 10-year Treasury has also ticked lower to 4.26%, indicating a shift in bond market expectations. These factors are contributing to the mixed performance of major stock indexes, with the Dow Jones Industrial Average futures rising slightly, while the tech-heavy Nasdaq 100 futures fell by 0.3%.
The SPXS ETF is up 0.34% in pre-market hours on Wednesday, November 27, reaching a price of $5.90 as of 8:24 AM ET.