Stock-index futures rose modestly in the evening as investors tracked President Donald Trump’s response treatment for COVID-19 after he was hospitalized for the disease late Friday.
Futures on the Dow Jones Industrial Average YM00, 0.68% rose 154 points, or 0.6%, to 27,719, while S&P 500 futures ES00, 0.64% had been up 0.5% at 3,357.25. Nasdaq-100 futures NQ00, 0.91% gained 0.7% to trade at 11,313.
The Dow DJIA, -0.48% on Friday fell 134.09 points, or 0.5%, to 27,682.81, as benchmarks ended well off session lows scored after the news that is initial of diagnosis. The S&P 500 SPX, -0.95% on ended 32.36 points reduced, down 1% at 3,348.44, whilst the Nasdaq Composite COMP, -2.22% finished 251.49 points lower, down 2.2%, at 11,075.02 friday.
What’s driving the market?
Investors and analysts had been already bracing for a run-up that is volatile the Nov. 3 presidential election before Trump’s diagnosis. The weekend saw reports that are conflicting the timeline of Trump’s therapy and their condition.
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Analysts stated the concern that is primary investors at present revolves around whether Trump’s illness will affect a presidential race in which he continues to lag behind Democratic challenger Joe Biden. Related, investors are prospects that are weighing agreement on a stimulus package. Stock-index futures rose modestly in the evening as investors watch Trump.
“In the near term…the dramatic turn of events could be a catalyst for the stimulus agreement — or it may not; we watch for bills to be put to Congress and votes become taken,” said Julian Emanuel, chief equity and derivatives strategist at BTIG, in a note.“ With key financial data expanding its run of disappointments versus expectations and high-profile corporate layoffs, additional aid would seem imperative. ”
Results of a Wall Street Journal/NBC Information poll conducted in the 2 days after Tuesday’s highly contentious debate that is presidential before news of Trump’s COVID-19 diagnosis showed Biden expanding his lead to 14 percentage points, a 53% to 39per cent advantage, among registered voters. The survey revealed Biden with an 8-point lead last month and an 11-point advantage in July, previously his lead that is biggest of the campaign.
“The initial stock market a reaction to news of President Trump’s COVID test never made much sense,” said Ian Shepherdson, chief economist at Pantheon Macroeconomics, in a Sunday note. “Sure, markets do not like uncertainty, but in a country where the election is only four weeks away, and very voters that are few undecided, it is hard to see how Mr. Trump’s
diagnosis materially changes the race.”