US stock futures extended their gains on Wednesday after major selloffs on Monday. Futures tied to the tech-heavy Nasdaq 100 index were at a standstill after the index closed markets higher on Tuesday. Dow Jones Industrial Average (DJIA) futures, as well as S&P 500 futures, edged higher.
US Market Concerns
Nasdaq 100 index snapped from its losing streak on Tuesday after steep selloffs at the start of the week. Investors are worried about the Delta coronavirus variant which has been advancing at an alarming rate. They are worried that the spread of the variants could set back the recovering economy.
The Economic Bureau of Research recently announced that the United States officially climbed out of a recession in April 2020. This concluded the pandemic-driven economic retrenchment which lasted for two months making it the shortest on the record.
US Treasury yields rebounded after starting the week lower than expected. The yield on the benchmark 10-year Treasury note rose to 1.255% on Wednesday after hitting a five-month low on Monday. The yield on the 30-year Treasury bond rose to 1.92%.
Oil prices edged higher on Wednesday rebounding from their declines. WTI Crude oil jumped 1.35% to trade at $68.12 per barrel. Brent crude inched 1.40% higher to trade at $70.33 per barrel.
US weekly initial jobless claims data are due later in the week. The jobless claims are expected to fall to 350,000 from the previous 360,000. The Nasdaq 100 index will react to the US Manufacturing and Services PMI for July later in the week.
Stocks to Watch
Pharmaceutical stocks made the most gains in the premarket trade on Wednesday. Chembio led the gains in premarket trading. The diagnostics company gained 88.83% in its stock earnings. The company received a $28 million purchase order from Brazil for its Covid-19 Antigen Tests.
Painreform Limited also advanced in premarket trade. The pharmaceutical company’s stock earnings were up 24.13% and traded at $3.190 per share.
Xtant Medical gained 22.54% in its stock price. Medical stocks have been advancing amid the Delta coronavirus rampant cases. The stocks are likely to edge higher for the rest of the week.
NeuroMetrix Inc was up 17.23% on Wednesday’s premarket trade. The company’s Quell device received FDA breakthrough designation to help treat Fibromyalgia in adults.
Jupiter Wellness also outperformed in the premarket trade. The company jumped 17.88% after a steep nosedive on Tuesday. The wellness company also announced the multi-year distribution agreement with Rigour International for expansion in Asia.