US equity futures rose on Wednesday, pointing to a possible rally after heavy losses on Wall Street, as a subdued inflation reading gave way to continued concerns about global growth.
Investors will be waiting for fresh data from the US, while a batch of updates from China shows that country’s own pandemic struggles.
How are stock futures traded?
Dow Jones Industrial Average Futures
increased 65 points, or 0.2%, to 34,529
S&P 500 Futures
increased 10 points, or 0.2%, to 4,445
gained 46 points, or 0.3%, to 15,425
fell 292.06 points, or 0.8%, to end at 34,577.57, the S&P 500 index
fell 25.68 points, or 0.6%, to 4,443.05 and the Nasdaq Composite
It fell 67.82 points, or 0.5%, to 15,037.76.
What drives the market?
Investors remain concerned that the aftermath of the pandemic will spread to global economies, especially as the delta variant has led to an increase in cases in the US and elsewhere. Markets have been trying to regroup after a series of losses that came to a brief halt on Monday.
“I suspect the market is likely to rebound as it tries to stabilize. From a short-term perspective, the market is somewhat oversold, so we could have a rebound. However, the cautious attitude will likely prevail as the decline has been accompanied by low volume, “said Peter Cardillo, chief market economist at Spartan Capital Securities, in emailed comments.
More data is expected for Wednesday, starting with August import prices and the New York State Empire Factory Index for September, both at 8:30 am ET, and industrial production and capacity utilization. August 9:15 am ET.
The futures bounce occurred despite a lot of pessimistic pace Data from China, where August retail sales grew a disappointing 2.5% year-on-year, from 8.5% growth in July. August industrial production and investment in fixed assets also did not meet expectations.
What companies are in focus?
Actions of Microsoft Corp.
it was up 1.3% in premarket operations. The tech giant Tuesday night raised its quarterly dividend by 11% and the company’s board of directors agreed to a new share buyback plan of up to $ 60 billion.
Las Vegas Sands Stocks
and Wynn Resorts
fell more than 7% each, while MGM Resorts
shares fell 3% premarket. The losses came after casino stocks plummeted in Macau on signs that the local government is targeting more closely monitor those companies.
How are other assets traded?
The yield of the 10-year Treasury note
it remained stable at 1.285%. Yields and debt prices move in opposite directions.
The ICE US Dollar Index
Measuring the currency against a basket of six big rivals, it fell 0.2% to 92.45.
Oil futures were higher, with the US benchmarking.
rising $ 1.19 to $ 71.30 a barrel. October natural gas
it was up 3.5% to $ 5.44 per million British thermal units.
In European equities, the Stoxx Europe 600 index
fell 0.1%, while London’s FTSE 100 index
it was flat.