US stock futures were up on Monday, signaling a higher opening for the major indexes. Futures tied to the S&P 500 index were up by more than 0.2%, extending Friday’s 0.8% gain. Nasdaq 100 futures rose more than 0.20%, indicating a modest rise in tech stocks. Futures contracts tied to the Dow Jones Industrial Average increased by more than 130 points.
US Market Concerns
Investors have shifted their focus to the Federal Reserve’s annual economic policy symposium later this week. They are hoping to get clues on when the Federal Open Market Committee (FOMC) may taper bond purchases.
The rising coronavirus infections underpinned by the highly contagious Delta variant may slow down economic recovery. Dallas Fed President Rob Kaplan stated he would rethink his call to scale down asset purchases soon if the Delta variant cases increased.
US Treasury yields were up on Monday ahead of the Federal Reserve’s annual Jackson Hole symposium. The yield on the benchmark 10-year Treasury note rose to 1.278%. The yield on the 30-year Treasury bond advanced to 1.893%.
Oil prices snapped from a seven-day losing streak earlier on Monday boosted by a weaker dollar. Oil prices hit their biggest weekly loss in nine months last week. US West Texas Intermediate (WTI) crude futures jumped 3% to $64.00 per barrel. Brent crude futures climbed 3.15% to $67.20 per barrel.
The purchasing managers’ index on manufacturing and services in the US for August will be released later today at 9.45 am. ET. The existing home sales data for July is also due later in the day.
S&P 500 Movers
Pfizer Inc was the most active stock in the S&P 500 index. The pharmaceutical company was up 4% on Monday. Its Covid-19 vaccine is expected to get a full FDA approval next week.
American Airlines Group was up 1.62%. The lead American airline was among the airlines ordered for rescue missions in Afghanistan by Pentagon. The Pentagon ordered 18 aircraft to assist Afghan evacuees.
Nvidia Corporation gained more than 1% in its stock earnings. The computer systems and design services company recently published its Q2 earnings report. The company’s record revenue for the second quarter jumped 68% from a year earlier to $6.51 billion.
Ford Motor Company was also among the active stocks in the S&P 500 premarket trade, gaining 1.43%. The automobile manufacturer recently announced that it would stop production at the US truck plant for a week amid chip shortages.