Futures on the Dow Jones Industrial Average (DJIA) and broader U.S. stock market rose in after-hours trading Thursday, clawing back some of their brutal losses from the prior session.
As the outlook on the U.S. economy continues to deteriorate, Bloomberg provided a sobering take on the so-called Trump rally.
Futures for all three major U.S. indexes rose during the Asian session, mirroring a similar performance just 24 hours ago. Futures on the Dow Jones Industrial Average climbed 81 points, or 0.3%, to 26,066.00. The contract was up by as much as 103 points earlier.
Futures on the S&P 500 Index climbed 0.4% to 2,890.50. Nasdaq 100 mini contracts rose 0.4% to 7,573.25.
U.S. stocks plunged during New York trading Wednesday after a mixed payrolls report from ADP raised concerns over the economy’s health. The payrolls report showed a net increase of just 135,000 private-sector jobs last month.
Donald Trump’s presidency was met with euphoria on Wall Street, as investors rallied behind the prospect of fresh tax cuts, infrastructure spending and deregulation. But the picture has changed drastically in the last two years.
Despite returning to record highs recently, the U.S. stock market has barely moved from 21 months ago. As Bloomberg reports, the S&P 500 Index has gone nowhere since the start of 2018.
Over that stretch, the S&P 500 has set 18 record highs, experienced a technical correction and posted two more declines of 6% this year.
That volatility has been reflected in the CBOE VIX, Wall Street’s preferred measure of investor anxiety. The volatility gauge surged past 21 on Wednesday, where it traded just above the historic mean. A fear-index reading above 20 suggests rocky trading conditions are likely over the next month.
Last modified: September 23, 2020 1:06 PM