The Dow Jones industrial average futures were higher in overnight trading on Sunday, even as Kovid-19 cases increased in the US and abroad.
The futures contract tied the 112 points at the Dow for a gain of 0.38%. S&P 500 futures rose 0.32%, while Nasdaq 100 futures advanced 0.34%.
“Stocks will trade on lockdown concerns and rising cases this week, but may see a boom in early December,” said Shannon Saccosia, chief investment officer at Boston Private. Overall, the push and pull between tech stocks and cyclicals The prospect will continue for the next few weeks, and we may see some hard days as economic data has been released that reflects the decline in consumer spending we are currently experiencing. “
The three leading averages narrowed down the Friday session, while the Dow and the S&P 500 also posted a loss for the week, falling 0.73% and 0.77%, respectively, for their first negative week in three. The Nasdaq Composite managed to post a 0.22% gain for the week, marking its second straight week of gains.
The move came as the Kovid-19 cases continued to rise, with the US reporting a record-high spike of more than 195,500 new cases on Friday. Public health officials have warned that the outbreak could be further exacerbated by the thanksgiving ceremony on Thursday.
According to a CNBC analysis of data compiled by Johns Hopkins University, Friday’s leap brings a seven-day average of more than 167,600 new cases, an increase of nearly 20% from a day earlier. Seven-day averages of new cases show at least 5% of the week in 43 states and the District of Columbia, data from Hopkins.
Spike has led to coronovirus-related restrictions at some locations. On Thursday, the California government’s Gavin Newsom set up a “home order to stay limited” on most residents of the state requiring non-urgent work and gatherings to end between 10 a.m. and 5 p.m. The move followed the decision of the New York City mayor to de de Blasio. The country’s largest school system made a jump in cases
Economists at JP Morgan said on Friday that such measures would “boost negative growth” in the first quarter. The firm downgraded its first-quarter GDP outlook to a 1% contraction, forecasting negative GDP on Wall Street for the first quarter of 2021.
Differences between the Treasury Department and the Federal Reserve over continuing funding for some of the emergency programs weighed into the markets last week amid the outbreak of Kovid-19.
By positive development on the treatment and prevention of Kovid-19, the conviction was kept in check. On Saturday, the Food and Drug Administration granted an emergency use authority for Regeneron Kovid-19 antibody treatment, an experimental therapy given to President Donald Trump, on Saturday. Meanwhile, on Friday, Pfizer and BioNotech applied for an Emergency Use Authority from the FDA for their coronavirus vaccine, which has a 95% efficacy rate.
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