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5 things to know before the stock market opens Thursday, Sept. 23

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Here are the most important news, trends and analysis that investors need to start their trading day:

1. Dow set to jump after snapping a 4-day losing streak

Traders work on the floor of the New York Stock Exchange (NYSE), September 21, 2021.

Brendan McDermid | Reuters

Dow futures rose 200 points Thursday, one day after the 30-stock average and the broader S&P 500 broke four-session losing streaks. The Nasdaq rose for the second straight day. All three stock benchmarks added 1% as investors looked past the troubles at Chinese property giant China Evergrande Group and took comfort in signaling from the Federal Reserve that it had no immediate intentions of removing U.S. monetary stimulus policies. The gains Wednesday saw a decrease in Monday’s slide and September’s slide, historically a difficult month for Wall Street. Nearly 4% was lost by the Dow from its record-setting close last month. The S&P 500 and Nasdaq were off about 3% from their latest record closes earlier this month.

2. China prepares for possible Evergrande demise, says WSJ

Apartment buildings at China Evergrande Group’s Life in Venice real estate and tourism development in Qidong, Jiangsu province, China, on Tuesday, Sept. 21, 2021.

Bloomberg | Bloomberg | Getty Images

Chinese authorities have told local officials to prepare for a potential collapse of heavily indebted Evergrande, The Wall Street Journal reported Thursday. Officials in the area described Chinese signals to them as “getting prepared for the potential storm.” They also said that they were told by the government to wait until the end to avoid any spillover effects of Evergrande’s collapse. On Wednesday, the large developer paid a bond in local. The company has yet to pay the interest due on its offshore bonds.

3. Initial jobless claims are seen declining last week

A career fair in Louisville, Kentucky, on June 23, 2021.

Luke Sharrett/Bloomberg via Getty Images

The U.S. government’s weekly look at initial jobless claims is expected to show a decline to near Covid pandemic lows. For the week ended September 18, 320,000 new applications for unemployment benefits were received, up from 332,000 in the prior week. On Wednesday, the Fed presented its quarterly economic projections after its September meeting. Officials expect the country’s unemployment rate to fall from its current 5.2% to 4.8% in 2019. The June estimate for the year ended rate was 4.5%.

4. Fed decreased forecast for economic growth, increased outlook for inflation

The Marriner S. Eccles Federal Reserve building stands in Washington, D.C., U.S., on Tuesday, Aug. 18, 2020.

Bloomberg via Getty Images. The numbers for U.S. Growth also dropped, increasing inflation expectations, and prompting a rate rise.| Bloomberg via Getty Images

The Fed’s forecasts also decreased numbers for U.S. growth, increased inflation expectations, and pushed up the timing for an interest rate hike. Now, the committee sees gross domestic products rising only 5.9%. The core inflation rate is expected to rise 3.7% in the coming year. The Fed kept its near-zero interest rate unchanged on Wednesday afternoon. However, most members expect the first rate rise in 2022. There was no timeline for the Fed to taper its bond purchases. However, Fed Chairman Jerome Powell said during his post-meeting news conference that if the recovery remains on track, “a gradual tapering process that concludes around the middle of next year is likely to be appropriate.”

5. CDC to vote on Pfizer Covid boosters for older, vulnerable Americans

A nurse reaches for a vial of Pfizer-BioNTech Covid-19 vaccine at a pop up vaccine clinic in the Arleta neighborhood of Los Angeles, California, August 23, 2021.

Robyn B. Beck, AFP | AFP | Getty Images

The CDC is expected to vote Thursday on the FDA’s decision to authorize a Pfizer Covid booster shot for people 65 and older as well as other vulnerable Americans six months after they complete their first two doses. If approved by the CDC, these booster shots could be given immediately. However, this would be less than the Biden administration’s call to provide booster shots to the public starting as soon as possible. The FDA’s vaccine advisory panel on Friday voted 16-2 against distributing the vaccines to people 16 and older before unanimously embracing the alternate plan for older and vulnerable people

— CNBC’s Jesse Pound contributed to this report. Follow all the market action like a pro on CNBC Pro. Get the latest on the pandemic with CNBC’s coronavirus coverage.

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