According to Bloomberg, the S&P 500 slipped 0.5% on Thursday despite spending most of the session in positive territory. The decline was driven by sharp drops in late New York trading for major tech companies. Analysts suggest that the market is experiencing a significant rotation from technology stocks to other sectors, primarily influenced by interest rate changes. However, not all market participants agree with this rotation theme. Birinyi Associates Inc. remains skeptical about the trend.

In Asia, investors are closely watching upcoming economic data releases, including Tokyo's July inflation figures, Thailand's June trade data, and Singapore's industrial production numbers. These data points are expected to provide insights into the region's economic health and influence market movements. Additionally, investors are assessing the future trajectory of economic policies and their potential impacts on the markets.

Goldman Sachs economists described a recent monetary policy adjustment as a 'dovish surprise' due to its unusual timing. The extension of the Medium-Term Lending Facility (MLF) loan, which typically occurs mid-month, was seen as an unexpected move. In the U.S., market sentiment remains cautiously optimistic. Analysts believe that as long as the economy avoids a recession, the current bull market could extend through 2024 and into 2025. They recommend taking advantage of any market pullbacks during this period.

In the commodities market, West Texas Intermediate (WTI) crude oil prices rose for the second consecutive day on Thursday, while gold prices fell by more than 1%. These movements reflect ongoing adjustments in commodity markets in response to broader economic trends and investor sentiment.