Stock futures rise as traders weigh rising coronavirus cases, U.S. stimulus talks

Finance


A passenger wears a protecting masks on the Wall Avenue subway station in New York, on Monday, March 30, 2020.

Michael Nagle | Bloomberg by way of Getty Pictures

U.S. inventory futures rose on Sunday evening because the variety of newly confirmed coronavirus instances continues to rise whereas lawmakers stay at an deadlock over a brand new stimulus deal.

Dow Jones Industrial Common futures have been up 77 factors, or 0.3%. S&P 500 and Nasdaq 100 futures additionally gained 0.3% every.

A CNBC evaluation of Johns Hopkins College information confirmed Covid-19 instances have been growing by 5% or more in 38 states as of Friday. Nationwide, the day by day case common has risen by greater than 16% on a week-over-week foundation to just about 55,000. New coronavirus infections in Europe are  rising by about 97,000 per day, up 44% from the prior week.

In Washington, Home Speaker Nancy Pelosi’s workplace mentioned Saturday night that she is giving the Trump administration 48 hours to reach an aid deal before the Nov. 3 election. Pelosi and Treasury Secretary Steven Mnuchin continued their discussions over the weekend. They agreed to talk once more Monday.

“The 48 solely pertains to if we need to get it completed earlier than the election, which we do,” Pelosi informed ABC’s “This Week” on Sunday. “We’re saying to them, we now have to freeze the design on a few of these issues — are we going with it or not and what’s the language? I am optimistic, as a result of once more we have been backwards and forwards on all this.”

Pelosi’s feedback got here as hope amongst market specialists for a deal being reached forward of the election dwindles. This, together with the obvious new wave in coronavirus infections, contributed to a uneven buying and selling motion final week.

The S&P 500 and Dow fell for 3 straight days final week earlier than closing barely larger on Friday. The Nasdaq Composite posted its first four-day dropping streak since September.

“The various cross-currents we now have been fretting over in current weeks stay omnipresent,” mentioned Sherif Hamid, a strategist at Jefferies, in a notice. “The US elections are shut at hand, fiscal stimulus stays a key near-term potential catalyst, and developments on the virus entrance stay vital to the longer-term outlook.”

“Rather a lot could be very prone to occur over the subsequent a number of weeks, and the broader macro image might thus change fairly massively relying on developments alongside all of these fronts,” Hamid added.

On the earnings entrance, IBM is slated to launch its newest quarterly outcomes after the bell on Monday. In the meantime, Federal Reserve Chairman Jerome Powell is scheduled to talk Monday morning.

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