Stock futures rose early Friday morning as investors tried to hang on to January’s rally amid concerns about monetary policy and sluggish earnings.
Futures linked to the Dow Jones Industrial Average rose 45 points, or 0.14%. S&P 500 and Nasdaq 100 futures rose 0.22% and 0.35%, respectively. Nordstrom It fell more than 5% in after-hours trading after reporting weak holiday sales and trimming year-end forecasts. Netflix It jumped 7% after reporting more subscribers than expected even though its quarterly earnings missed analyst estimates.
During Thursday’s session, both the Dow Jones and the Standard & Poor’s 500 closed lower, marking its third negative day in a row, as corporate earnings and economic data indicated a slowdown in the economy. The Dow is down more than 252 points, or 0.76% and is now down 0.31% year-to-date. The S&P 500 fell 0.76% and the Nasdaq Composite lost 0.96%, but both indexes have been positive for the year.
But over the course of the week, all three indices are on track to close lower. The Dow Jones fell 3.67%, on track to post its worst week since September. The S&P 500 is down more than 2.5% and could post its worst weekly performance since December. The Nasdaq is down more than 2% and is on track to snap a two-week winning streak.
“Quick Money,” Tim Seymour, founder and chief investment officer of Seymour Asset Management, said on CNBC.
These forward looking indicators include economic data such as retail sales and industrial production. “This is where the market started to crash,” he said.
Going forward, investors will continue to monitor corporate earnings, as SLB Oilfield Services Name and Ally Financial will release a report on Friday. They will also listen intently to speeches from Fed officials ahead of the central bank’s February meeting, looking for clues as to how big a rate hike is likely to be imminent.
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