Home Global News Stock futures have changed little after a slow start to June

Stock futures have changed little after a slow start to June

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US stock index futures were little changed in Wednesday morning trade, following silent action on the first day of june.

Futures contracts linked to the Dow Jones Industrial Average gained just 23 points. The S&P 500 futures and Nasdaq 100 futures both traded around the flatline.

The Dow rose 47 points, or 0.14%, after one time rally of more than 300 points during regular trading on Tuesday. S&P closed down only 2 points, breaking 3-day winning streak. The Nasdaq Composite was the relative underperformer, shedding 0.09% for its second negative session in three.

Despite the muted action, there were some gains during the session, especially in stocks tied to the reopening. Airline and cruise operator companies saw their stocks jump as Covid cases in the US continued to decline.

Inflation fears, and the way the Federal Reserve might react, have weighed on sentiment recently, although key averages are still hovering at all-time highs.

“Markets remain strong,” said Cliff Hodge, chief investment officer at Cornerstone Wealth. “Economic growth is strong, monetary conditions remain extremely easing and consumers are flush with cash from stimulus as virus cases fall and the economy reopens.”

The S&P 500 and Dow are down 0.8% and 1.5%, respectively, from their May records. The Nasdaq has a little more ground to build on after moving out of growth-oriented areas of the market. The tech-heavy index is currently up 3.3% from its April all-time high.

Looking ahead, Morgan Stanley strategists call for backing quality names to be defensive and reasonably priced during the mid-cycle transition.

“We believe that improved execution and earnings stability during the reopening phase are traits that the market will reward,” The firm wrote in a note to customers.

Energy was the top-performing S&P 500 group on Tuesday after a jump in oil prices West Texas Intermediate Crude futures at the highest level in more than two years

shares of AMC Another notable proponent was, jump 22% The company said in a filing that it raised $230.5 million through a stock sale.

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