S&P 500 Futures drop 1%, eye the biggest weekly fall in five months
- S&P 500 Futures part ways from Wall Street benchmark while staying below 3,300 round-figure.
- Coronavirus woes join the fears of US stimulus stalemate, cautious moves ahead of American presidential election to weigh risks.
- Mixed earnings from Tech giants fail to beat US dollar rise amid a light calendar.
S&P 500 Futures drop to 3,272.50, down 30 points or 0.92% intraday, amid the early Friday. In doing so, the risk barometer differs from the equity benchmark registered on Wall Street.
While hopes of the upbeat earnings from the technology giants like Apple, Amazon and Facebook helped S&P 500 to gain over 1.0% by the end of Thursday’s US session, mixed results highlight the challenges to the risk and drag the US Futures down. Although earnings from all three headline US companies beat market estimates, Apple’s downbeat performance in China and no major positive sales impact of the latest iPhones probed the market bulls.
The sentiment also takes clues from worsening coronavirus (COVID-19) conditions in Europe and the US as well as expectedly further delay in the American covid aid package. Moreover, the market’s fears ahead of the US presidential election and no signs of soft Brexit also weigh on the market’s risk tone.
On Thursday, global market players bid the US dollar amid upbeat data from the world’s largest economy as well as the ECB’s dovish rhetoric. Early on Friday, Japan’s inflation and unemployment data also printed mixed results and kept the environment gloomy.
Moving on, a few of the US second-tier data can entertain the S&P 500 traders during Friday but the risk catalysts are likely to keep the bears happy.
Also read: Wall Street Close: Stocks rebound anticipating strong earnings