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Dow futures rise as Wall Street tries to recover from its worst day since March

US stock futures were higher on Thursday night after growing concerns about a re-look in case of coronavirus lowered stock prices.

Dow Jones Industrial Futures traded 235 points higher, which means an opening stop on Friday of about 409 points. The S&P 500 and Nasdaq-100 futures also pointed to a positive Friday start for the two indices.

The Dow, S&P 500 and Nasdaq on Thursday all recorded their biggest one-day losses since mid-March and had losses of at least 5.3%. Thursday̵

7;s falls set the big averages in pace for their biggest weekly loss since March 20, when everyone fell at least 12%.

Still, Morgan Stanley Investment Management Andrew Slimmon said: “Given the scale of the rally, it would shock me if we had a sale one day and that is it.”

“The stocks that are most upside-down are still risky, high beta values, small-cap stocks,” Slimmon, who is the CEO and senior portfolio manager at the company, told CNBC’s Squawk Box Asia “Friday morning Singapore time.” still the big winners and I would suspect that it is more pain to come in the short term before the market clears out such excessive speculation that we have seen recently. “

Thursday’s losses came after data compiled by Johns Hopkins University showed that the number of new coronavirus cases has increased in states such as Arizona, South Carolina and Texas as they continue their resume process. Still, Treasury Secretary Steven Mnuchin told CNBC’s Jim Cramer that the United States cannot shut down the economy again.

Altogether, more than 2 million cases of coronavirus have been confirmed in the United States, along with over 100,000 deaths.

Stocks had risen higher before this week, as investors cheered for the outlook that the economy would recover as states and countries facilitate quarantine measures.

“We had gone straight up more than 30% without a real sale, so you owe it to one, and I don’t think it’s the worst thing in the world,” said JJ Kinahan, TD Strategist at TD Ameritrade. “When more states come back, the question becomes: Are they going to ramp up fast enough to please Wall Street? What you see is that it will be difficult to do so.”

Despite Thursday’s sales, the S&P 500 and Dow remained more than 37% above the intraday flames reached on March 23. Most of these gains have been driven by shares that would benefit from the resumption of the economy, including airlines, cruise lines and retailers.

“Some of these layers may have come in front of their skis,” Kinahan said. “When you see that some of the airlines are priced to the levels they were before this all started when they say they will do 60% of their business, it doesn’t make sense.”

American, Delta and United ended Thursday’s session down more than 20% each during the week, while Southwest has dropped 14%. Banks such as JPMorgan Chase, Citigroup, Wells Fargo and Bank of America – which have risen amid expectations of improving economic activity – are all down over 12% during the week.

Information on consumer sentiment along with the latest US import and export numbers is scheduled to be released Friday morning.

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