Stock futures pushed higher on Sunday evening as Wall Street looks to find its footing following a steep sell off for tech companies.
Futures the S&P 500 rose 0.3%. Nasdaq 100 futures gained 0.4%, while those for the Dow Jones Industrial Average added 97 points, or 0.3%.
The S&P 500 and Nasdaq Composite tell 3.05% and 5.52% last week, and are each on six day losing streaks. The Nasdaq fell 2% on Friday alone, with chip giant Nvidia sinking 10%.
The Dow, which has less tech exposure than the other two benchmark averages, was little changed on the week.
The struggles for equities come as recent inflation readings have diminished hopes that the Federal Reserve will cut rates several times in 2024.
“Large weekly losses in SPY and QQQ showed that investors are finally waking up to the reality of the long-promised ‘higher for longer’ interest rate scenario they refused to believe,” Rick Bensignor of Bensignor Investment Strategies said in a note to clients Sunday, referring to major index funds.
This week will deliver several major economic updates, with GDP due out on Thursday and a key inflation reading on Friday.
Corporate earnings could also be a factor in the coming days, with names like Tesla, Meta Platforms, American Airlines, Microsoft and Alphabet all set to report in the week ahead.
Bitcoin trading near $65,000 after halving
The price of bitcoin was little changed on Sunday evening, hovering near $65,000.
That is close to where the largest cryptocurrency on Friday before its so-called “halving,” which slows the issuance of bitcoin by reducing the rewards for miners.
The price of bitcoin has risen in between each prior halving, but some experts say there could be near-term downside for the cryptocurrency.
— Jesse Pound, Tanaya Macheel
Futures open higher
The three key futures contracts rose when trading opened at 6 p.m. in New York. Dow futures were briefly up 100 points.
— Jesse Pound
Last week in review
Here’s where the key averages stand after Friday’s decline in tech:
- The S&P 500 fell 0.88% on Friday, its sixth negative session in a row.
- The S&P 500 closed the week down 3.05%.
- The Nasdaq Composite fell 2.05% on Friday, its sixth negative session in a row.
- The Nasdaq Composite finished the week down 5.52%.
- The Dow gained 211 points, or 0.56%, on Friday, its second positive session in a row.
- The Dow closed the week up 0.01%.
— Jesse Pound, Christopher Hayes
