US Stock Futures Recover Sunday Night
US stock futures recovered from a decline on Sunday night, according to CNBC.
Coronavirus cases have surged in recent weeks and investors are concerned about the economy recovering. Even so, futures trading turned positive late Sunday. Dow Jones Industrial Average futures traded 65 points higher, while S&P 500 futures and Nasdaq-100 futures also started to trade in green territory.
The US has more than 25 percent of the world's coronavirus cases with over 2.5 million. On Friday alone, 42,255 new cases were reported. On Sunday, Health and Human Services Secretary Alex Azar said the “window is closing” for the US to stop the spread of COVID-19.
“Reopening plans stumbled – this not only in new virus hotspots like TX and FL, but also impacting international travel – as daily U.S. virus cases surpassed what all had hoped would be their peak in April,” wrote Julian Emanuel, chief equity and derivatives strategist at BTIG. He continued noting that the S&P 500 closed below its 200-day moving average, a common reference for traders, as Wall Street “paused to assess not only the near-term implications of these risks.”
Last week, the Dow dropped 3.3 percent while the S&P 500 lost 2.9 percent and the Nasdaq Composite lost 1.9 percent. “The bearish argument for the current market is breadth has not strengthened during this period of consolidation,” said Andrew Thrasher, founder of Thrasher Analytics, in a note. “That’s discouraging as more stocks have broken down along with the index.”
Opening bell on Monday will give a brief glimpse into investor sentiment as US coronavirus cases surge.