Stock futures inch higher as S&P 500 looks to wrap up 7th winning month in a row
The bull sculpture representing the rise of the market by artist Reinhard Dachlauer is pictured in entrance of the inventory change in Frankfurt, Germany, on December 29, 2020.
The bull sculpture representing the rise of the market by artist Reinhard Dachlauer is pictured in entrance of the inventory change in Frankfurt, Germany, on December 29, 2020.
Daniel Roland | AFP | Getty Images
Stock futures rose barely in in a single day buying and selling on Monday as the S&P 500 looks to wrap up its seventh straight month of features at a file excessive.
Futures on the Dow Jones Industrial Average gained 35 factors. S&P 500 futures edged up 0.1% and Nasdaq 100 futures had been flat.
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Zoom shares fell greater than 11% in after-hours buying and selling on Monday after the video-conferencing software company showed slowing revenue growth in the second quarter. The drop in shares got here even as Zoom’s earnings beat estimates and the corporate raised full-year steering as the pandemic took a flip for the more severe.
Tuesday marks the final buying and selling day of August, and main averages are poised to publish stable features. The S&P 500 is up 3% this month, whereas the tech-heavy Nasdaq Composite has climbed 4%, on tempo to publish its third winning month in a row. The blue-chip Dow is up a extra modest 1.3%.
“Despite rising geopolitical dangers, peak financial progress considerations, and the Federal Reserve shifting nearer to tapering its asset buy program, the regular ascent of shares continues,” Keith Lerner, chief market strategist at Truist, stated in a observe.
The S&P 500 managed to climb up a wall of fear to file highs with out even a 5% pullback this yr. The broad fairness benchmark has rallied greater than 20% in 2021 after notching its 53rd file shut in Monday’s session.
Stellar company earnings have supplied valuation help and the idea for inventory costs to march higher. With the second-quarter reporting season winding down, the S&P 500 is on observe to publish an earnings progress price of 95.4%, which might be the quickest tempo because the fourth quarter of 2009.
“We consider we’re nonetheless in the early innings of the cycle and that sturdy financial and earnings progress and comparatively low charges by 2022 ought to help higher fairness costs and maintain the bull market,” Wells Fargo strategists stated in a observe.
Investors are awaiting a key jobs report on Friday forward of the Labor Day weekend. Economists polled by Dow Jones anticipate 750,000 jobs had been created in August and the unemployment price fell to 5.2%.
On the political entrance, the Pentagon stated the U.S. has finished its evacuation efforts from Kabul’s airport, successfully ending America’s longest warfare.
