US Market: Futures Jump On August 27 Despite Dow Jones, Nasdaq, S&P 500 Falling Overnight; Thursday Outlook

The US stock futures surged sharply in the early trade of August 27 despite the Dow Jones, Nasdaq Composite, and S&P 500 indices falling significantly overnight. On Thursday, the reason behind the surge in futures is the bullish earnings of Nvidia, which signaled that AI-driven demand could remain steady for the next two years. On the contrary, Wall Street indices faced sell-offs after the July monthly Personal Consumption Expenditures data surpassed street expectations. On Thursday, investors will wait for more major earnings.

US Stock Futures Today, August 27, 2026

The Dow Jones futures surged by 188 points or 0.33% to trade at 53,699, at the time of writing. Meanwhile, the Nasdaq 100 futures climbed by 249.75 points or 0.9% to trade at 29,537.50. Further, the S&P 500 futures soared by 36 points or 0.5% to trade at 7,725.75, at the time of writing.

As per Trading Economics data, US stock futures climbed on Thursday after Nvidia delivered a bullish sales outlook, signaling that artificial intelligence-driven demand could remain strong through 2028. Nasdaq 100 futures jumped 1%, while Dow and S&P 500 futures each gained around 0.5%. In extended trading, Nvidia shares surged more than 4% following better-than-expected Q2 results and strong revenue guidance, with its outlook providing fresh evidence that spending on AI infrastructure remains robust. Salesforce also jumped nearly 13% after reporting higher-than-expected Q2 revenue, while Okta soared 20% after topping estimates and citing booming demand for agentic AI.

Dow Jones + Nasdaq Composite + S&P 500

Overnight, the Dow Jones Industrial Average or DJIA index on US exchanges fell by 113.52 points or 0.21% to close at 53,463.88. However, the Nasdaq Composite and S&P 500 index slipped marginally.

Nasdaq was down 21.10 points or 0.081% to end at 26,130.20, and S&P 500 index dropped 1.58 points or 0.021% to close at 7,675.70.

The Federal Reserve's favored inflation data generally matched expectations on a monthly basis, but Wall Street slipped on sticky annual readings. As per Charles Schwab's note, headline July monthly Personal Consumption Expenditures (PCE) price growth of 0.2% topped consensus, but core PCE, excluding food and energy, was in line at 0.2%. Consensus was 0.1% and 0.2%, respectively, month over month.

Treasury yields initially declined on the monthly PCE readings but ticked up as investors noted higher-than-expected annual growth of 3.7% for headline PCE and 3.3% for core. Even so, it's monthly changes that may matter more to the Fed. "This shouldn't change the Fed's thinking-monthly core inflation readings of 0.2% or less should continue to allow it to remain on hold," said Collin Martin, head of fixed income research and strategy at the Schwab Center for Financial Research (SCFR).

Furthermore, Hariselvan Radhakrishnan, Founder & CEO of HST Wealth, said, US markets closed flat to marginally lower overnight. The focus was on semiconductor giant Nvidia, which reported record quarterly revenue of $96.2 billion, ahead of the $92.3 billion consensus estimate, and projected current-quarter revenue of around $108 billion, also comfortably above expectations. Despite the strong numbers, Nvidia's shares declined in after-hours trading, prompting investors to take a more cautious view of the technology sector.

US Stock Market Outlook On Thursday, August 27

August 27th will be another major day as reports like Trade Balance, Retail Inventories, Initial Jobless Claims, and Kansas City Fed Manufacturing Activity will be released.

Companies like Dollar General (DG), Dollar Tree (DLTR), AutoDesk (ADSK), Workday (WDAY), Marvell Technology (MRVL), and Affirm Holdings (AFRM) will be in focus for their quarterly results.

Also, Ponmudi R, CEO of Enrich Money said, global markets present a mixed picture. Wall Street ended lower after U.S. inflation came in slightly above expectations, clouding the outlook for the Federal Reserve's policy path. Asian markets, however, are showing mixed performance, with Japan's Nikkei 225 trading marginally lower while South Korea's Kospi is up nearly 1% in early trade.

On the new inflation reading, Ponmudi added that the Personal Consumption Expenditures (PCE) Price Index, the Federal Reserve's preferred inflation gauge, came in slightly above expectations, complicating the outlook for monetary policy and reinforcing expectations that policymakers are likely to remain cautious.

Hence, investor attention now turns to Fed Chair Kevin Warsh's speech at the Jackson Hole symposium for further clarity on the interest-rate outlook.

Apart from this, geopolitical risks continues to linger. Ponmudi said, "Geopolitical developments remain an important variable for markets. U.S. President Donald Trump described the Strait of Hormuz as a "very functioning" waterway despite sporadic rocket and drone activity. While the immediate outlook for energy supplies has improved alongside lower crude prices, the broader geopolitical situation remains unresolved..."

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