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Futures contracts linked to major U.S. stock indices rose modestly in early morning trading on Thursday after pressures on Nasdaq Composite technology stocks fell 2% during the regular session.
Dow futures rose 51 points, while futures contracts related to the S&P 500 and Nasdaq 100 were also slightly higher.
The overnight relocations followed a rash of late daily sales of high-growth and technology stocks during the regular session.
The S&P 500 fell 0.6% after rising as much as 0.8% during the day, while the technologically heavy Nasdaq fell 2% to close at its lowest level. Apple,, Facebook i Netflix all slid more than 2%, while Tesla fell by 4.8%.
The Dow Jones industry average, which outperformed its peers in positive territory for most of the day, plunged into a minus in the final seconds of the session. Dow industrial manufacturers jumped more than 300 points in their high session.
Dow’s afternoon weakness arose when the reopening of stores like airlines and cruises reversed strength earlier. Norwegian cruise line fell by 4.9% while The Royal Caribbean i Carnival fell by 1.9% and 2.8%, respectively. Delta i United Airlines also ended the day below.
The pressure on stocks came even as bond yields continued to decline from recent highs. The 10-year Treasury yield fell 3 basis points to 1.61% on Wednesday, falling on the third day after last week’s rate reached a 14-month high.
Treasury Secretary Janet Yellen and Federal Reserve President Jerome Powell the second day of virtual testimony appeared before federal legislators. Both reiterated their belief that, thanks in large part to fiscal and monetary stimulus, the U.S. economy will record significant growth in 2021.
“In the most likely case, it’s going to be a very, very strong year,” Powell said. “Of course there are risks up and down, but it should be a very strong year in terms of growth … In the long run, we need to raise revenue to support the sustainable consumption we want to achieve.”
Powell and Yellen said the property on Tuesday estimates appear elevated in certain areas markets, but that the financial sector is sound and equipped to deal with any market turbulence when the stimulus starts to fade.
Investors will discuss the latest Labor Ministry report on unemployment claims on Thursday. The department is expected to report that 735,000 Americans reported unemployment last week.