Inventory index futures are mildly increased after Nasdaq closes at document


US stock index futures were slightly higher during Wednesday’s early morning trading after the S&P 500 closed just short of a new high on Tuesday.

Futures contracts linked to the Dow Jones Industrial Average rose 82 points. S&P 500 futures and Nasdaq 100 futures both traded in slightly positive territory.

All three major averages ended Tuesday’s session in the green, undoing losses from earlier in the session amid tech sector strength.

The S&P 500 rose 0.5% to close just 0.2% from a new all-time closing high. The Dow rose 163 points after falling more than 120 points at the start of the session. The Nasdaq Composite was the relative outperformer, hitting a new intraday all-time high and posting a 0.8% gain for a new record close.

Federal Reserve Chairman Jerome Powell testified outside the House on Tuesday, which seemed to lift sentiment as he reiterated that inflationary pressures will be temporary.

“Powell outlined how the excess inflation would come from categories directly affected by the reopening,” said Ed Moya, senior market analyst at Oanda. “He found that there was an extremely strong demand and that the supply was caught flat.”

In prepared statements released Monday evening, the central bank governor reiterated that the economy is growing, although the threat of the pandemic is still there.

For June, the S&P 500 and the Nasdaq Composite are in the green, rising 1% and 3.6% respectively. However, the Dow is in the red for the month amid weakness from Caterpillar and JPMorgan.

Looking ahead, UBS said it maintains a “positive tactical view of stocks” but that profits will be unevenly distributed.

“We see potential in regional markets that lagged in the second quarter, particularly China and Japan, as well as in the companies and sectors hardest hit by the economic reopening, including energy, financials and US small and mid-caps “said the company recently wrote on a customer note. UBS said investors should take profits on some of this year’s winners that may have limited upside potential, including real estate, consumer discretionary and industrials.

Bitcoin saw another volatile session on Tuesday, with the cryptocurrency temporarily falling below $ 30,000, wiping out its gains for 2021. But Bitcoin ultimately made up for the entire 11% loss and ended the session in positive territory, according to data from Coin Metrics.

The earnings season has mostly ended, but Winnebago will release the quarterly results before the opening bell on Wednesday, while KB Home will release the results when the market closes.

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