Traders on the ground of the NYSE, May 23, 2022.
S&P 500 futures rose on Monday night, as Wall Street tried to construct on last week’s momentum.
Dow Jones Industrial Average futures gained 36 points, or 0.1%. S&P 500 and Nasdaq 100 futures climbed 0.3% and 0.8%, respectively. The U.S. stock market didn’t open Monday as a consequence of the Memorial Day holiday.
Those moves follow the perfect weekly gains for the Dow and S&P 500 since November 2020.
The Dow closed up 6.2% for the week, ending an eight-week losing streak. The S&P 500 gained 6.5%, and the Nasdaq gained 6.8% on the week, ending positive after seven continual weeks of losses. Solid earnings from the retail sector, in addition to an inflation report that showed prices may very well be easing, lifted investor sentiment.
A piece of last week’s gains got here Friday, when the Dow rallied greater than 550 points, and the S&P 500 popped 2.5%. The Nasdaq, meanwhile, rallied 3.3%, boosted by solid reports from tech firms, in addition to a dip within the 10-year Treasury yield.
Still, traders proceed to deliberate whether the bounce marks a bottom as stocks remain well off their highs. The Dow is 10.1% below its 52-week high, the S&P 500 is down 13.7%, and the Nasdaq is off by about 25.2%.
“We could get some sharp snapbacks in stocks that will not represent a real turning point for the market,” Strategas investment strategist Ryan Grabinski said in a Friday report. “The constructing of a bear market is a process, and we could still decline further.”
Traders will leaf through more corporate quarterly earnings during a holiday-shortened week. Salesforce, HP and Victoria’s Secret are expected to report earnings on Tuesday after the bell.