Stock index futures were little changed on Wednesday as increased COVID-19 infections around the world contributed to worries about global economic growth, while Nasdaq-100 futures suffered added pressure after Netflix Inc. Report the number of disappointing subscribers.
What are the main indexes doing?
Futures on the Dow Jones industrial average
up 23 points, or 0.1%, at 33,726.
S&P 500 future
increased 1.9 points, or 0.1% less, to 4,128.50.
down 17.75 points, or 0.1%, to 13,776.50.
down 256.33 points, or 0.8%. S&P 500
down 0.7%, while the Nasdaq Composite
lose 0.9% and Russell 2000 is small cap
What drives the market?
Stocks saw modest declines after the S&P 500 and Dow ended at record highs on Friday, with analysts largely attributed the drop to fears about new surges. of COVID-19 infections around the world, especially in India and Japan.
“Psychology is hurt mainly by new concerns about rising global COVID infections that could slow the reopening of some economies,” said Fawad Razaqzada, market analyst at ThinkMarkets. health ”. “In the case of US stocks, there is also a profit-taking factor after the major indices have hit or near record levels with today’s vibrant earnings season.”
India reported some record cases again on Wednesday, numbering more than 200,000 for the seventh consecutive day. The country’s hospitals are reportedly filling up rapidly, it’s about to run out of ICU beds and lack of oxygen.
The news said Japanese officials were considering ordered a state of emergency for Tokyo and Osaka due to increased cases of COVID-19.
A softer tone for the markets comes as the earnings season kicks off this week. Results from Netflix Inc.
late Tuesday sent the streaming giant’s shares down 8% and is seen as weighing on the future Nasdaq-100.
Which companies to focus on?
Netflix at the end of Tuesday reported 3.98 million subscribers paying new net fees in the first quarter, down from the 8.5 million reported in the previous quarter and much lower than the 6 million the company had predicted three months ago.
In trading news, Middleby Corp.
said Wednesday it has agreed to buy it back Welbilt Inc.
in an all-stock deal with an enterprise value of $ 4.3 billionThat would create a food equipment company with a commercial food service portfolio. Shares of Wellbilt rose more than 12% in pre-market trading, while Middleby shares fell 6.5%.
Government Service Providers Maximus Inc.
said Wednesday it had agreed to acquire the privately-owned parent company of the Veterans Assessment Services Company for $ 1.4 billion.
The company “software robot” UiPath late third IPO price is $ 56 per share, raised over $ 1.3 billion and gave the company an initial market capitalization of $ 29.1 billion. It is scheduled to begin trading Wednesday on the New York Stock Exchange under the ticker “PATH”.
Stocks rose in pre-market trading after the oil service firm convert to first quarter profits exceed expectations and revenue topped the forecast.
Baker Hughes Co.
first quarter loss report but adjusted earnings outperformed expectations, while revenue was down on forecast only due to a 30% drop in oil field equipment and services revenue. Stocks do not work in pre-market transactions.
Shares of Anthem Inc.
0.3% increase in money market transactions after the first quarter earnings report exceeded expectations and provided optimistic full-year outlookHowever, sales did not meet expectations due to less premium increase than forecast.