Futures Climb After Wall Street’s Worst Day in Three Months

U.S. stock index futures surged about 2% on Friday, pointing to a quick rebound for Wall Street from its biggest one-day dive in about three months on fears of a resurgence in coronnavirus infections.

Big U.S. lenders including Bank of America Corp <BAC.N>, Citigroup Inc <C.N> and Morgan Stanley <MS.N> rose between 3% and 5% in premarket trading after taking a hammering earlier this week.

The S&P 500 closed about 6% lower on Thursday as nerves over a rising number of new infections in several U.S. states replaced expectations of a swift recovery that drove the Nasdaq to a record high and led the S&P 500 well above its March lows.

The Federal Reserve’s indication of a long road to recovery on Wednesday also heightened concerns, putting the three main U.S. stock indexes on track for their worst week in about three months.

At 6:09 a.m. ET (10:08 GMT), U.S. e-minis stocks futures <EScv1> rose 1.99% to 3,070.25 points. The daily up trading limit for S&P futures is at 3,152.

Dow E-minis <1YMcv1> were up 608 points, or 2.42%, with 59,444 contracts changing hands. Nasdaq 100 E-minis <NQcv1> were up 163 points, or 1.68%.

The CBOE volatility index <.VIX> eased about 4.5 points after spiking to 40, its highest level since April 23.

Photoshop maker Adobe Inc <ADBE.O> rose 5.2% after posting better-than-expected quarterly profit, driven by strong demand for its Creative Cloud and Document Cloud software.

Yoga apparel maker Lululemon Athletica Inc <LULU.O> fell 4.9% after posting lower-than-expected quarterly revenue and profit due to coronavirus-led store closures.

(Reporting by Medha Singh and Devik Jain in Bengaluru; Editing by Saumyadeb Chakrabarty)

Responses

  1. That correction didn’t amount to much. Just a little hiccup in an otherwise advancing climb of an abundant amount of enthusiasm.

    Be careful out there.

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