US stock futures moved slightly higher Tuesday night as investors tried to build on a solid rally.
Futures on the Dow Jones Industrial Average gained 43 points, or about 0.1%. S&P 500 futures and Nasdaq 100 futures were each up about 0.1%.
The move in futures came as the recent sell-off in stock markets appeared to have paused. On Tuesday, the Dow was up 431 points, or 1.3%, while the S&P 500 was up 2% and the Nasdaq Composite was up nearly 2.8%.
The Dow is down for seven straight weeks, but stocks have stabilized over the past three trading sessions.
Last week, the S&P 500 fell to the brink of a bear market — or 20% below its record high — but the index is now up 4% since Thursday’s close.
Equities and other risky assets have been pressured by inflation and the US Federal Reserve’s attempt to contain inflation by raising interest rates, leading to concerns about a possible recession. Fed Chair Jerome Powell told a Wall Street Journal conference on Tuesday that “there will be no hesitation” in raising rates until inflation is brought under control.
However, some recent economic data, including the jobs report and April retail sales data, still show that the US economy is growing.
“There’s a big difference between stock market corrections and outright bear markets,” said Matt Stucky, senior portfolio manager at Northwestern Mutual Wealth Management. “The difference that there are bear markets is almost always linked somehow to some kind of recessionary macro environment, or at least an inevitable one over the next six to 12 month forecast horizon. For us, sitting here today, we just don’t see it.”
A busy week of retail earnings continues on Wednesday, with results from Target and Lowe ahead of the opening bell.
Investors are also getting an updated look at the housing market, with data for April housing starts and building permits due Friday morning.
https://www.cnbc.com/2022/05/17/stock-market-news-open-to-close.html Stock futures edge higher as Wall Street looks to build on recent recovery