Stocks may move to the upside in early trading on Monday, regaining ground following the significant weakness seen last week. The major index futures are currently pointing to a higher open for the markets, with the S&P 500 futures up by 0.4 percent.
Bargain hunting may contribute to initial strength on Wall Street, as traders look to pick up stocks at reduced levels.
The Nasdaq and the S&P 500 have closed lower for six consecutive session, following to their lowest levels in two months.
However, other recount rebound attempts have fallen short, as buying interest fades amid ongoing concerns about the outlook for interest rates.
Trades may also be reluctant to make significant moves ahead of the release of several key U.S. economic reports, including reports on new home sales, durable goods orders and personal income and spending.
The Commerce Department’s personal income and spending report includes readings on inflation said to be preferred by the Federal Reserve.
Earnings season also starts to pick up steam this week, with Tesla (TSLA), Boeing (BA), IBM (IBM), Caterpillar (CAT), Honeywell (HON), Alphabet (GOOGL), Intel (INTC), Microsoft (MSFT), Chevron (CVX) and Exxon Mobil (XOM) among the companies due to report their quarterly results.
With technology stocks under pressure, the Nasdaq showed a substantial move to the downside during trading on Friday, extending its recent losing streak. The S&P 500 also saw further downside, while the narrower Dow bucked the downtrend.
The Nasdaq plunged 319.49 points or 2.1 percent to 15,282.01, closing lower for the sixth straight session and tumbling to its lowest closing level in well over two months.
The S&P 500 also closed lower for the sixth straight day, slumping 43.89 points or 0.9 percent to a two-month closing low of 4,967.23.
Meanwhile, the Dow added to the slim gain posted in the previous session, climbing 211.02 points or 0.6 percent to 37,986.40.
For the week, the tech-heavy Nasdaq cratered by 5.5 percent and the S&P 500 dove by 3.1 percent, while the Dow crept slightly higher.
In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Monday. Japan’s Nikkei 225 Index jumped by 1.0 percent, while Hong Kong’s Hang Seng Index surged by 1.8 percent.
The major European markets have also moved to the upside on the day. While the U.K.’s FTSE 100 Index has shot up by 1.6 percent, the German DAX Index is up by 0.5 percent and the French CAC 40 Index is up by 0.2 percent.
In commodities trading, crude oil futures are falling $0.46 to $82.68 a barrel after climbing $0.41 to $83.14 a barrel last Friday. Meanwhile, after rising $15.80 to $2,413.80 an ounce in the previous session, gold futures are plummeting $54.80 to $2,359.20 an ounce.
On the currency front, the U.S. dollar is trading at 154.70 yen versus the 154.64 yen it fetched at the close of New York trading on Friday. Against the euro, the dollar is trading at $1.0642 compared to last Friday’s $1.0656.
Business News
U.S. Stocks May Stage Another Rebound Attempt
2024-04-22 12:45:56
