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Stock futures entered the Sunday evening with a relatively calm demeanor. The Dow, having endured a seven-day losing streak, was set to face a significant week marked by a crucial central bank meeting. Futures tied to the Dow Jones Industrial Average showed a modest increase of 31 points, equivalent to less than 0.1%. S&P 500 futures also witnessed a similar upward trend, with only a minimal gain of less than 0.1%. Nasdaq 100 futures, on the other hand, experienced a slight dip of less than 0.1%.

Stock Market Performance in the Past Week

The stock market concluded a sluggish week. The Dow suffered a 1.8% decline last week and has been on a losing streak for seven consecutive sessions. The S&P 500 dipped by 0.64% and has retreated in four out of the past five sessions. In contrast, the Nasdaq Composite outperformed, managing to gain 0.34% for the week. After a broad rally following President-elect Donald Trump's November win, the stock market seems to have reverted to a more narrow tech-led movement in recent days.Joe Mazzola, the head trading and derivatives strategist at Charles Schwab, stated on Friday's "Closing Bell: Overtime" that the breadth of the market is starting to wane. It is becoming a more concentrated rally within a few prominent names. He questioned how long this can be sustained but acknowledged the possibility of it carrying forward at least until the end of the year.

Key Events of This Week

The main focus of this week is the Federal Open Market Committee's meeting on Tuesday and Wednesday. Federal Reserve officials are widely anticipated to lower the benchmark interest rate once again. On Monday, investors will receive updated economic data with preliminary purchasing managers index readings due before the market opening.

Individual Stock Movements

Shares of MicroStrategy are likely to see significant movement. The bitcoin proxy was announced as a new addition to the Nasdaq 100 index. Traders expect the Federal Reserve to cut rates this week, with a 95.3% likelihood according to the CME FedWatch tool. However, they also anticipate a pause in the rate cutting cycle in January. This could be a relief for investors who are still concerned about the path of inflation.Logan Moulton, the portfolio manager at Intelligent Wealth Solutions, noted that inflation appears to be "stickier" than previously thought by Fed officials. There are risks of upward pressure on inflation when the Trump administration takes office. He suggested that the Fed should at least pause heading into 2025.

Market Averages and Sector Performance

With less than three weeks remaining in 2024, the three major market averages are on track for a remarkable year. The Nasdaq Composite leads with a gain of 32.74% year to date. The S&P 500 has jumped 26.86%, while the Dow is trailing but still up 16.29%. All 11 sectors are in the positive territory for the year, with communications services leading the way with a 43.10% gain.

New Additions to Nasdaq 100

Three new stocks are set to join the Nasdaq 100 one week from Monday. Palantir Technologies, MicroStrategy, and Axon Enterprise will all be added to the index before the market opens on December 23. The stocks will also be included in the holdings of the Invesco QQQ Trust, which has assets exceeding $300 billion. Among these three, MicroStrategy is the most volatile. As a former enterprise software company, it has added cryptocurrency to its balance sheet, partly financed through debt sales. Illumina, Super Micro Computer, and Moderna will be removed from the index.

Stock Futures Openings

Stock futures remained relatively unchanged at 6 p.m. ET on Sunday. The contracts for the three major averages showed only a marginal decrease.