Stock Market Outlook: Rally Ahead or Another Trap?
U.S. stock index futures are pointing sharply higher ahead of Thursday’s open following significant volatility around the Federal Reserve’s rate decision. Crude oil is pulling back while attempting to hold $100, gold is lower, and jobless claims and housing starts could influence the market later in the morning. Despite the expected rate hike, currencies reacted strongly, with the U.S. dollar surging and major currencies declining.
Market internals remain mixed. The VIX is not reflecting the level of fear visible in numerous 52-week lows, while major U.S. indexes remain under pressure around their 100-day moving averages. Energy stocks were particularly weak, with both U.S. and Canadian energy names generating sell signals. The key message heading into Thursday is to focus less on the opening rally and more on where markets finish the day, while watching key support levels and existing sell signals.
Stephen Whiteside
Thursday, September 17, 2026
