A masked man walks the New York Stock Exchange (NYSE) on March 17, 2020 on Wall Street in New York.
Johannes Eisele AFP | Getty images
US stock futures fell on Sunday night after investors lingered for a long week on corporate earnings and lawmakers resumed talks to stimulate the coronavirus.
Dow Jones Industrial Average futures traded 60 points lower, or 0.2%. S&P 500 futures fell 0.2% along with the Nasdaq 1
McDonald’s, Pfizer, Alphabet, Apple and AMD are among the companies that will release their latest quarterly figures this week.
According to Friday, nearly 128 S&P 500 companies reported a profit, with 81% beating analysts’ expectations, according to Refinitiv. However, total profits from the S&P 500 have fallen by more than 40% over the previous period as the coronavirus pandemic takes a big bite out of corporate profits.
“Stock prices rose even after analysts’ estimates of expected returns fell,” said Ed Yardeni, chief investment strategist at Yardeni Research. “These assessments have begun to show signs of dropping out in the last few weeks. However, any recovery could be silenced or even interrupted if the number of COVID-19 cases continues to rise and state governors delay or lift the lifting of blocking restrictions. “
Traders also turned their eyes to Washington as lawmakers tried to move on to another coronavirus stimulus package.
On Sunday, Treasury Secretary Stephen Mnuchin said Republicans had finalized a bill worth about $ 1 trillion in coronavirus support. Mnuchin added that he hopes the proposal will find bipartisan support.
However, Jeffreys chief economist Aneta Markovska warned that “there is still a big gap between the governments of democracy and the Democrats, especially in terms of unemployment benefits and state and local governments. Closing the gap is likely to take more than a week, which means that an agreement is unlikely to be reached before July 31. “
White House economic adviser Larry Kudlow shed some light on some of the measures included in the GOP proposal, noting: “A $ 1,200 check is pending, this will be part of the new package.”
Wall Street was coming out of a losing week as shares of major technology companies struggled and tensions between the United States and China rose. Each Dow and S&P 500 broke the three-week winning streak. Meanwhile, the Nasdaq reported its first weekly loss since May.
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