The S&P 500 futures were flat on Friday after the underlying index tumbled down for a second day. However, it managed to find some support after rising from its 50-day moving average. On the other hand, contracts on the Nasdaq 100 increased.
Futures on the S&P 500 Index lowered by 0.1% this morning before steading. The Stoxx Europe 600 Index also declined by 0.1%. In Europe, shares slid while the U.S. stock market fluctuated. Investors avoided sharp moves while awaiting new catalysts. Meanwhile, Treasuries climbed up higher, and the dollar steadied.
Travel and leisure shares suffered the most in the Stoxx Europe 600 Index on the threat of more restrictions to fight coronavirus spread. U.K. restaurant and pub stocks also plummeted down after reports that Britain may extend curbs after forbidding social gatherings of more than six people.
Ericsson AB jumped by 2% after it agreed to buy a U.S. provider of wireless solutions CradlePoint Inc. London Stock Exchange Group Plc also soared as it began exclusive negotiations to sell Borsa Italiana to Euronext NV. German plastics maker Covestro AG skyrocketed by more than 9% after reports that buyout firm Apollo Global Management Inc. targeted it.
What about the Asian stocks?
In Asia, the MSCI Pacific Index climbed up by 0.5%. The MSCI Emerging Market Index also gained 0.5% on Friday.
Investors are waiting for more U.S. fiscal stimulus after the Federal Reserve indicated on its last meeting that interest rates would stay low for several years. Data still shows a patchy recovery path worldwide as Covid-19 infections rise across Europe after governments eased lockdowns. France’s daily cases jumped by more than 10,000 to the highest report since the end of lockdown in May.
Robert Greil, the chief strategist at Merck Finck Privatbankiers AG, stated that the market is uninspired following recent central bank meetings. It is waiting for the next support step.
