- May 12, 2023
- By: Admin1_blog
- US Market
U.S. stock futures were higher Friday as regional banks rebounded and traders tried to end a volatile week on a high note.
Dow Jones Industrial Average futures rose 147 points, or 0.44%. S&P 500 and Nasdaq 100 futuresclimbed 0.46% and 0.3%, respectively.
Regional banks rose broadly after declining in the previous session. The SPDR S&P Regional Banking ETF (KRE) climbed 1%, with shares of embattled bank PacWest rising 0.9%. Western Alliance advanced 2.2%. On Thursday, regional banks dropped broadly after PacWest said its deposits fell sharply last week.
Tesla shares rose 1.6% after Elon Musk said Thursday that he’s stepping down as chief executive at Twitter. He will oversee product at the social media firm.
Investors are also keeping an eye on Washington as concern around debt ceiling negotiations persisted. CNBC reported that a debt ceiling meeting between President Joe Biden and congressional leaders that was set for Friday was postponed to next week.
Investors are coming off a fourth straight losing session for the Dow Jones Industrial Average, which on Thursday slid more than 200 points, or 0.66%. Disney’s decline a day after it reported poor subscriber numbers weighed on stocks. The S&P 500 declined 0.17%. By contrast, the Nasdaq Composite added 0.18%.
Meanwhile, weaker-than-expected wholesale prices data, a sign of easing inflation, failed to shield investors from ongoing concerns of a downturn ahead — particularly as a handful of stocks continue to carry the market.
“It’s a fairly typical story,” JPMorgan’s Jason Hunter said Thursday on CNBC’s “Closing Bell.” “You see the thin leadership, and then at some point the growth decelerates enough to cause a true flight to cash.”
Investors are anticipating preliminary consumer sentiment data on Friday, set to release after the open. Economists polled by the Dow Jones are expecting a May reading of 63.0, which would be lower than the level of 63.5 in the previous reading.
April import prices are also due out before the open on Friday. Economists are expecting a 0.3% rise last month, compared to the decline of 0.6% the prior month.
As of Thursday’s close, the Dow and the S&P 500 are headed for their second negative week in a row, down 1.08% and 0.14% this week, respectively. However, the Nasdaq Composite is on pace for its third straight positive week, up 0.76%.
Source: CNBC
