US stock futures were flat in the night trading on Tuesday, after the S&P 500 hit its highest level ever, erasing all losses from coronavirus sales.
Dow futures rose 18 points. The S&P 500 and Nasdaq 100 futures won 0.04% and 0.05% respectively.
On Tuesday, the S&P 500 returned to its highest level ever, recovering all coronavirus-related losses from the index. The average of 500 shares rose 0.2% to a record close of 3,389.78. It also traded above its Feb. 19 intraday record of 3,393.52 earlier in the trading day. The S&P has rallied more than 54% since its lowest March, ending the shortest bear market in U.S. history.
“Market gains were driven by the names of mega-captechnology, typical of the Nasdaq, with value stocks, small-cap stocks, overseas developed markets, and emerging markets lagging far behind,” Marc said. Odo, portfolio manager at Swan Global Investments, at CNBC.
The Nasdaq Composite also posted a record gain of 0.7% on Tuesday, helped by a 4% gain in Amazon and a nearly 2% gain in Netflix. The Dow Jones Industrial Average averaged 66 points.
“Reaching a new high-flying time can be a fast-paced speed bump in an ongoing new bull market, but if the next few weeks are not substantially passed, it could also prove to be a grinning glass ceiling that remains fearful. This really is just a big bear market rally. , “Jim Paulsen, chief investment strategist at Leuthold Group, told CNBC. “Bulls need to ask themselves if the stock market is finally advancing from its foundations, while bears are being forced to ask if they are too underweight in what might just be the beginning of a new bull market.”
Shares of retailers narrowed large average gains on Tuesday, despite Walmart and Home Depot’s better-than-expected quarterly results. Kohl’s plummeted more than 14% after the company offered a grim outlook ahead of the all-important holiday season.
Retail revenue continues on Wednesday with wholesale retailer Targeting and home improvement company Lowe’s reporting before the opening clock. TJX Companies also reported Wednesday morning. Closely visited chip stock Nvidia reports quarterly results to market close on Wednesday.
Investors are following up on a second coronavirus coronavirus bill from Washington. Treasury Secretary Steven Mnuchin criticized Democratic leaders as desperate and unwilling to discuss a smaller relief package on Tuesday; however, Politico MP Nancy Pelosi said she was ready to cut some demands to get an agreement on the bill.
The Federal Open Market Committee will publish its minutes of its meeting in June on Wednesday at 2 p.m.
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