Stock Market Cafe
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
No Result
View All Result
Stock Market Cafe
No Result
View All Result
Home Trading News

Dow futures plunge 400 points amid fears of new Covid variant found in South Africa

by
November 26, 2021
in Trading News
0
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter

RELATED POSTS

‘With Risk Comes Opportunity’: Oppenheimer Suggests 2 Stocks to Buy, Including One With 170% Upside Potential

India is a true bright spot in the midst of a global downturn, top execs and policymakers say

A trader works on the floor of the New York Stock Exchange (NYSE) November 8, 2021.

Brendan McDermid | Reuters

U.S. stock futures dropped in overnight trading on Thursday as investors geared up for a shortened trading day amid renewed Covid fears over a new variant found in South Africa.

Futures for the Dow Jones Industrial Average fell more than 400 points, while those for the S&P 500 and the Nasdaq 100 were both in negative territory.

The downward move in futures came after WHO officials on Thursday warned of a new Covid-19 variant that’s been detected in South Africa. The United Kingdom temporarily suspended flights from six African countries due to the variant.

Bond yields tumbled amid the flight to safety. The yield on the benchmark U.S. 10-year Treasury note fell to 1.555%, a sharp reversal after surging above 1.65% earlier this week. Bond yields move inversely to prices.

Asia markets were hit hard in Friday trade, with Japan’s Nikkei 225 plunging about 3% while Hong Kong’s Hang Seng index fell more than 2%.

Oil prices also tumbled during Asia trading hours, with U.S. crude futures down 2.86% to $76.15 per barrel, while the South African rand weakened 1.6% against the greenback to 16.2141 per dollar.

Markets were closed on Thursday for Thanksgiving, so stocks are coming off of slight gains on Wednesday that staunched the week’s losses for the S&P 500 and Nasdaq Composite.

Treasury yields have climbed this week, putting pressure on high-growth stocks. The Nasdaq is down 1.3% for the week, while the S&P 500 is up less than 0.1% and the Dow has gained roughly 0.6%.

The final weeks of the year are typically a strong period for the market, with the so-called Santa Claus rally usually creating a happy holidays for Wall Street. The S&P 500 is up 25% year to date.

Friday also marks the unofficial start of the holiday shopping season, as investors will be looking for insight from Black Friday to determine the mood of the U.S. consumer.

Retail stocks have seen dramatic moves in both directions during this earnings season. On Wednesday, shares of Gap and Nordstrom tanked more than 20%, but Kohl’s jumped more than 10% a week ago after reporting strong sales growth.

Retail executives spoke during the quarter about how they are managing supply chain issues and inflation. It also remains to be seen if discussion around supply chain issues caused consumers to start their holiday shopping early, potentially denting fourth-quarter sales.

“I would not be surprised if that was a dynamic around the holiday season,” said Sarah Henry, a portfolio manager at Logan Capital Management. She added that her firm was looking for companies with long-term strategic advantages than trying to bet on the best holiday sales results.

Wednesday also saw several strong economic reports, with personal incomes and consumer spending for October coming in higher than expected and initial jobless claims hitting their lowest level since 1969. However, Core PCE, the Fed’s preferred inflation gauge, remained elevated at 4.1%.

There are no major economic releases scheduled for Friday. The stock market will close at 1 p.m. ET on Friday due to the holiday weekend.

ShareTweetPin

Related Posts

‘With Risk Comes Opportunity’: Oppenheimer Suggests 2 Stocks to Buy, Including One With 170% Upside Potential

by
January 27, 2023
0

S&P Futures 4,063.50 -12.00(-0.29%)   Dow Futures 33,995.00 -28.00(-0.08%)   Nasdaq Futures 12,038.25 -68.50(-0.57%)   Russell 2000 Futures 1,905.90 -4.60(-0.24%)...

India is a true bright spot in the midst of a global downturn, top execs and policymakers say

by
January 27, 2023
0

With 2023's World Economic Forum in Davos dominated by discussions of economic growth, or a lack of in most developed...

Buy the dip? Top Morningstar strategist names 3 stocks trading at a steep discount

by
January 27, 2023
0

This year is shaping up to be a "tale of two halves," according to Dave Sekera, chief U.S. market strategist...

Here’s where mainland Chinese traveled overseas for the Lunar New Year

by
January 27, 2023
0

BEIJING -- Travelers from mainland China stuck close to home in Asia during the Lunar New Year, the first holiday...

Morgan Stanley has a ‘simple’ tech playbook, names TSMC and others as stocks to buy right now

by
January 27, 2023
0

Tech stocks have staged a remarkable comeback this year, as investors flock to the sector once more. The tech-heavy Nasdaq...

Next Post

EQT: Warren's attempts to scapegoat natural gas industry misguided

Dow futures plunge more than 600 points amid fears of new Covid variant found in South Africa

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

email

Get the daily email about stock.

Please Enter Your Email Address:

By opting in you agree to our Privacy Policy. You also agree to receive emails from us and our affiliates. Remember that you can opt-out any time, we hate spam too!

MOST VIEWED

  • Crocs sees fourth-quarter sales up 42%, CEO Andrew Rees says 2021 was ‘exceptional year’

    0 shares
    Share 0 Tweet 0
  • Biden didn’t accept Putin’s ‘red lines’ on Ukraine – here’s what that means

    0 shares
    Share 0 Tweet 0
  • Buying a car from the factory sounds expensive, but it can actually save you money. Here’s how to do it.

    0 shares
    Share 0 Tweet 0
  • The states that won’t tax military retirement in 2022

    0 shares
    Share 0 Tweet 0
  • Roth TSP vs. Roth IRA: How Do They Compare?

    0 shares
    Share 0 Tweet 0
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
All rights reserved by www.stockmarket-cafe.com
No Result
View All Result
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy

All rights reserved by www.stockmarket-cafe.com