US stock-index futures were trading slightly more flat on Wednesday morning, a day after the Nasdaq Composite and the S&P 500 halted a multi-session streak of gains.
The Omicron version of COVID continues to serve as a focus for investors, but new tensions have yet to disrupt the market’s recent uptrend, even as the World Health Organization reported on Wednesday. There has been an increase in the number of COVID-19 cases reported across the country. Led by the US, last week increased by 11% compared to the previous week.
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How are stock indices trading?
Dow DJIA on Tuesday,
It ended up 95.83 points, or 0.3%, at 36,398.21, marking a fifth straight lead for the blue-chip index, the second-highest close ever. s&p 500 spx,
It slipped 4.84 points, or 0.1%, to 4,786.35 a day after closing at record highs. NASDAQ Composite Index Comp,
It closed 89.54 points, or 0.6%, down at 15,781.72.
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What is driving the market?
After a strong start in the final week of 2021, US stock markets are struggling to find enough ground to propel the rally towards new record territory, with investors mostly brushing off fears about COVID-19 Is.
Many investors are betting that economic recovery at the start of the year and strong earnings from US corporations will continue to dampen buying for at least the first few months in 2022.
At this point, as the number of rising cases of COVID seems to be down, preliminary research suggests that the micron version of COVID is less severe and that infection with it could potentially boost the immunity of people who catch other forms. that cause more severe symptoms.
“In any case, yesterday’s return is far from indicating a trend reversal,” JFD Group’s head of research, Charalombos Pisoros, wrote in a daily research note.
“With the media suggesting that the rapid spread of the Omicron COVID variant is unlikely to cause a global lockdown again, due to its mild symptoms, investors may decide to restart the so-called ‘Santa rally’ for the remainder of the week.” The analyst wrote, referring to the seasonal uptrend that started in the last five sessions of the year and the first two sessions of the following year.
The Santa Claus Rally is off to the best start in 20 years. What history says about the performance of the stock market when the rally begins well.
Looking ahead, investors are watching a report on international trade in goods at 8:30 a.m. Eastern time, as well as retail and wholesale merchandise readings for November. A report on pending home sales for November is due at 10 am
Which companies are in focus?
How are other properties performing?