Following the mixed performance seen last week, stocks are likely to move mostly higher in early trading on Monday. The major index futures are currently pointing to initial strength on Wall Street, with the S&P 500 futures up by 0.4 percent.
Early buying interest may be generated amid a steep drop by the price of oil, as crude oil for December delivery is plummeting $4.36 to $67.42 a barrel.
The nosedive by the price of crude oil comes as Israel’s retaliatory attack against Iran over the weekend did not damage the Islamic republic’s energy facilities.
Overall trading activity may be somewhat subdued, however, as traders look ahead to the release of key U.S. economic data later in the week.
The monthly jobs report as well as a report on personal income and spending that includes the Federal Reserve’s preferred inflation readings are likely to be in the spotlight.
Reports on third quarter GDP, consumer confidence, pending home sales and manufacturing sector activity may also attract some attention.
The data could impact the outlook for the economy as well as expectations regarding how quickly the Fed will lower interest rates.
Earnings news is also likely to be in focus in the coming days, with Alphabet (GOOGL), Amazon (AMZN), Exxon Mobil (XOM), Intel (INTC), McDonald’s (MCD), Meta Platforms (META), Microsoft (MSFT) and Pfizer (PFE) among the companies due to report their quarterly results.
After ending Thursday’s session on opposite sides of the unchanged line, the major U.S. stock indexes turned in another mixed performance during trading on Friday. While the tech-heavy Nasdaq added to yesterday’s strong gain, the Dow extended its losing streak to five sessions.
The Nasdaq reached a new record intraday high in early trading but gave back ground over the course of the session before ending the day up 103.12 points or 0.6 percent at 18,518.61.
Meanwhile, the Dow slid 259.96 points or 0.6 percent to 42,114.40, pulling back well off last Friday’s record closing high. The S&P 500 also edged down 1.74 points or less than tenth of a percent to 5,808.12.
The major averages also turned in a mixed performance for the week. The Dow tumbled by 2.7 percent and the S&P 500 slumped by 1.0 percent, but the Nasdaq rose by 0.2 percent.
In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Monday. Japan’s Nikkei 225 Index surged by 1.8 percent, while China’s Shanghai Composite Index climbed by 0.7 percent.
Meanwhile, the major European markets are turning in a mixed performance on the day. While the French CAC 40 Index is up by 0.1 percent, the German DAX Index is down by 0.3 percent and the U.K.’s FTSE 100 Index is down by 0.5 percent.
In commodities trading, crude oil futures are plummeting $4.36 to $67.42 a barrel after jumping $1.59 to $71.78 a barrel last Friday. Meanwhile, after rising $5.70 to $2,754.60 an ounce in the previous session, gold futures are slipping $9.90 to $2,744.70 an ounce.
On the currency front, the U.S. dollar is trading at 152.58 yen versus the 152.31 yen it fetched at the close of New York trading on Friday. Against the euro, the dollar is trading at $1.0818 compared to last Friday’s $1.0796.
Business News
U.S. Stocks May See Initial Strength Amid Steep Drop By Oil Prices
2024-10-28 12:45:59
