Traders on the floor of the New York Stock Exchange.
Source: NYSE
US stock futures fell slightly on Sunday night as Wall Street appeared to be recovering from a week of losses.
Futures contracts linked to the Dow Jones Industrial Average fell 78 points, or 0.2%. Those of the S&P 500 and Nasdaq 100 lost 0.3% and 0.4%, respectively.
The movement in the futures comes after the top three indexes lost ground last week. The Dow and S&P 500 fell on Friday to end the week down 0.5% and 0.8%, respectively, breaking two-week winning streak. The Nasdaq Composite rose on Friday, but still ended the week at a loss of 0.8%.
The stock fights came with bond yields skyrocketing again last week, putting pressure on technology and growth stocks that drove the market back from its pandemic sales wave last year. On Sunday, futures for the price of 10-year Treasury bills rose, indicating lower yields.
Even with last week’s weakness, the S&P 500 and Dow are still close to record highs, and the Nasdaq is not far behind. Darrell Cronk, chief investment officer at Wells Fargo’s Wealth and Investment Management, said the stock market still appeared to be on the road to a multi-year escalation.
“If you went through the list and started putting check-check-check-check-check boxes, I would look at it in a vacuum … and say it looks like an initial recovery cycle that is about a year old and probably a number of years old still ahead, “said Cronk.
Optimism about the markets and the direction of the United States economy has grown as vaccines are being rolled out across the country, with the rate of vaccination among Americans increasing in recent weeks. Several states are seeing an increase in Covid-19 cases, however.
Over the weekend, the industrial sector produced important corporate news. Canadian Pacific Railway announced that it was buying Kansas City Southern in a deal valued at $ 25 billion, creating a railway giant that connects Canada, the United States and Mexico.
Regarding the economic data, investors will have a new view of the real estate market on Monday, when the National Association of Realtors discloses sales of existing homes for February. Economists surveyed by Dow Jones project a 2.8% drop.