Dow futures rise about 360 points as oil retreats and Asian stocks rise

  • Dow futures rose about 360 points Thursday after Wednesday’s 631-point decline.
  • 3.75%–4.00% became the Federal Reserve’s target range after a 25-basis-point increase.
  • The Bank of Japan was expected to raise rates from 1% to 1.25% Friday.

Dow futures rose about 360 points Thursday, recovering roughly 60% of the index’s Wednesday decline as oil prices retreated and Asian stocks advanced. The Dow had fallen 631 points, or 1.2%, to 51,462, while the S&P 500 lost 0.45% and the Nasdaq was nearly unchanged. The Dow’s larger point move partly reflects its price-weighted structure, which gives higher-priced shares more influence than the market-value-weighted S&P 500. Futures for the Dow, S&P 500 and Nasdaq all advanced about 0.6%, indicating a broad rebound. The Federal Reserve raised rates by 25 basis points to 3.75%–4.00% and indicated another increase was likely this year, while policymakers projected no reduction throughout 2027. Brent crude fell 1.2% toward $104.60 and WTI dropped to $101.30 after Saudi Arabia offered additional crude through ship-to-ship transfers near Oman. Lower oil prices support manufacturers, retailers and consumer-facing companies by reducing transport and input costs, but pressure energy companies such as Chevron. Japanese stocks rose, led by Eisai and Mitsubishi Heavy Industries, as a week of central-bank decisions continued. The Bank of England was expected to hold rates at 3.75% despite UK inflation reaching 3.1%, while the Bank of Japan was expected to raise its rate from 1% to 1.25% Friday, its highest level in 31 years. The dollar index climbed to 100.40, a seven-week high, as markets priced in about a 90% chance of another Federal Reserve increase this year. The euro weakened below $1.15, sterling fell ahead of the Bank of England decision and USD/JPY rose above ¥156. Gold recovered above $4,300, balancing dollar strength and higher policy rates against geopolitical and fiscal risks and easing long-term yields. Bitcoin held near $76,400 after the Federal Reserve decision and the Clarity Act setback. Its immediate test is whether it can reclaim $77,000–$78,000 while cash and government bonds offer more competitive returns.

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