U.S. stock futures were little changed on Sunday night as the market attempted to bounce back from its longest losing that is weekly in about a year.
Dow Jones Industrial Average futures traded 17 points lower, or 0.1%. S&P 500 futures hovered below the flatline and Nasdaq 100 futures climbed 0.2%.
The S&P 500, Dow Jones Industrial Average and Nasdaq Composite all fell for a third week that is straight. That marks the market’s longest slide that is weekly 2019.
Those declines came as tech shares — which led the broader market off its coronavirus lows and into record territory — struggled. Facebook, Amazon, Apple, Netflix, Google-parent Alphabet and Microsoft all posted steep weekly losses. The S&P 500 tech sector pulled back by 1%.
Tech was under great pressure week that is last partly because of valuation issues within the area as well as options of individual stocks, ETFs and indexes expired.
“For the market to hold these levels buyers need certainly to come in to the technology sector over the week that is next 10 days,” said Marc Chaikin, CEO of Chaikin Analytics, in a post. “Without the impetus of the call option buyers who helped propel the limit that is large stocks to extreme valuations, it’s unlikely that the following rally can exceed the September peak.”
Traders kept a watch on Washington heading into the new week as lawmakers struggle to make progress on a coronavirus stimulus package that is new. Republicans and Democrats have been in a stalemate since July after conditions through the stimulus that is previous expired.
President Donald Trump hinted week that is last would back a bigger relief package. White home chief of staff Mark Meadows also said he had been “probably more optimistic about the potential for a deal.”
But, stimulus negotiations could become more complicated after the passing of Supreme Court Justice Ruth Bader Ginsburg, which could lead to a nomination that is bitter ahead associated with election. Trump said he would nominate some body this week to take Ginsburg seat, drawing criticism from key Democrats and some GOP senators. U.S. stock futures were little changed on Sunday night.
Chris Krueger, Washington strategist at Cowen, stated in a note that a new stimulus that is coronavirus is currently “unlikely until post Nov 3 while the battle over Justice Ginsburg’s empty seat will consume DC.”
There are “dueling prisms by which we view the passing that is unfortunate of Ginsburg and filling her seat on the Supreme Court: political & procedural,” said Krueger. “In a zero-sum, crass world that is political instant read-through is something that turns 2020 far from a Trump referendum is a positive for Trump.”
“The other narrative is the fact that this avails Democrats to run the successful 2018 playbook again: GOP trying to take away healthcare,” he said.