Stock futures are mildly lower as S&P 500 aims for winning week

Finance

Traders on the floor of the NYSE, May 17, 2022.
Source: NYSE

Stock futures were little changed in overnight trading as the S&P 500 attempted to snap a seven-week losing streak.

Futures on the Dow Jones Industrial Average shed about 25 points. S&P 500 futures were flat and Nasdaq 100 futures were marginally higher.

Retail corporate earnings continued after the market closed Thursday. Ulta Beauty shares rallied more than 6% postmarket after better-than-expected quarterly results, while Gap sunk about 13% after slashing its profit guidance.

The postmarket moves came after stocks gained in Thursday’s regular session. The Dow rose for a fifth-straight trading day, adding more than 500 points, or 1.6%. The S&P 500 climbed about 2% and the Nasdaq Composite rose nearly 2.7%.

A batch of strong earnings from the retail sector boosted market sentiment Thursday. The SPDR S&P Retail ETF gained more than 4%. Macy’s, Williams-Sonoma, Dollar Tree and Dollar General were among the leaders.

The three indexes are on track to close the week higher. The Dow is up 4.4%, the S&P 500 is 4% higher and the Nasdaq Composite is up 3.4% on the week.

Still, the averages are well off their highs, with the Nasdaq Composite solidly in bear market territory and the S&P 500 having briefly dipped more than 20% below its record last week.

The Nasdaq after Thursday’s close is down 27.6% from its record, while the S&P 500 and Dow are off by 15.8% and 11.7%, respectively.

“We think there’s a good chance for some more strength here. This is sort of a classic bear market rally or bounce off the bottom,” Troy Gayeski, chief market strategist for FS Investments, told CNBC’s “Closing Bell: Overtime” on Monday. “Inflation expectations have rolled over recently.”

On Friday, investors will be eyeing economic data releases, including personal income, consumer spending and core personal consumption expenditures.

Articles You May Like

Where Should Financial Literacy Be Taught—Home Or School?
Don’t bet against Zuckerberg: Meta’s earnings-driven stock slide is an opportunity
Biden Sets New Nursing Home Staffing Rules
Beware The Tax Traps Sprung On Those Who Move In Retirement
Homeownership isn’t for everyone, money coach says: Don’t fall for artificial ‘pressure to buy’

Leave a Reply

Your email address will not be published. Required fields are marked *