Stock futures are little changed after S&P 500 notches record close: Live updates

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Stock futures were little changed in overnight trading after the S&P 500 notched a new record closing high thanks to a rally in artificial intelligence chip darling Nvidia.

Futures tied to the S&P 500 rose flickered near the flatline, as did Nasdaq-100 futures. Futures connected to the Dow Jones Industrial Average slipped 5 points.

Lululemon jumped 10% in extended trading on as the sportswear manufacturer beat expectations in its fiscal first quarter. Five Below sank nearly 15% on lackluster results and guidance.

Stocks are coming off a winning session. The S&P 500 jumped 1.18% to close at 5,354.03. The index also touched a new intraday all-time high of 5,354.16. The Nasdaq Composite jumped 1.96% to 17,187.90 and also hit a new record, while the Dow Jones Industrial Average added 0.25% to close at 38,807.33.

Nvidia powered those gains surging more than 5% to top a $3 trillion market valuation and surpass Apple in value. Earlier this week, the company announced its next generation of AI chips, known as “Rubin.”

“If you’re designing the perfect momentum company from scratch, Nvidia would be it,” New York University finance professor Aswath Damodaran said on CNBC’s “Closing Bell” on Wednesday. “You got a great story, a CEO who sticks to the story … and you got a market that contributes to the mix. I think that you’re seeing one of the great momentum plays of all time playing right in front of you.”

Wall Street is looking ahead to Friday’s nonfarm payrolls report for May, with investors on the hunt for signs of a weakening labor market, which could support rate cuts from the Federal Reserve. Private payrolls data from ADP released Wednesday showed a slowdown in hiring.

Earnings from J.M Smucker are due out Thursday, as are reports on continuing and initial jobless claims.

Nvidia is surging. When to decide whether it’s time to take some chips off the table

Big Tech names, including artificial intelligence darling Nvidia, are taking over this rally, and their hot streak raises the question of whether it may be time to sell a few holdings.

There is more to rebalancing your portfolio than just selling highly appreciated positions, however, according to Blair duQuesnay, certified financial planner and investment advisor at Ritholtz Wealth Management in New Orleans.

Rather, pruning a few winning positions and then redeploying those proceeds in other asset classes can help resolve distortions in your portfolio.

Here’s where to begin.

Darla Mercado

Biggest movers in extended trading

Mike Blake | Reuters

A Lululemon sign is seen at a shopping mall in San Diego, California, on Nov. 23, 2022.

A few stocks are making notable moves in extended trading

Lululemon Athletica — The athleisure company jumped about 9% after posting first-quarter results that beat Wall Street’s estimates on the top and bottom lines.

Five Below — The discount retailer tumbled 15% after issuing disappointing guidance on revenue for the second quarter.

See the full list here.

Darla Mercado, Samantha Subin

Stock futures open little changed

Stock futures opened little changed on Wednesday evening.

Futures tied to the S&P 500 were flat, while Nasdaq-100 futures inched up 0.05%. Futures connected to the Dow Jones Industrial Average dipped 10 points.

— Samantha Subin

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