Stocks look set to start the week on a flattish note with a negative bias after the major averages snapped multi-week winning streaks on Friday. The insurrection in Russia turned a storm in a teapot, as it was quashed even before things went out of hand. Given the lack of any significant Main Street catalysts, stocks could tread waters before taking a decisive move forward.
Cues From Past Week’s Trading:
The major averages closed the week ended June 23 on a down note, as traders took profit of recent gains amid the release of weak economic data and the Fed’s warning of more rate hikes down the line.
The S&P 500 and the Nasdaq Composite indices were down in three out of the four sessions of the truncated week. The former ended a five-week winning streak, while the latter snapped an eight-week positive run.
The 30-stock Dow Industrials was down in all four sessions of the week and broke a three-week winning streak. Sentiment toward small-cap stocks was more negative, as reflected by the underperformance of the Russell 2000 Index.
U.S. Indices’ Performance on Friday
| Index | Performance (+/-) | Value |
| Nasdaq 100 | -0.76% | 14,954.53 |
| S&P 500 Index | -0.51% | 4,365.86 |
| Dow Industrials | -0.45% | 33,794.19 |
| Russell 2000 | -0.86% | 1,832.17 |
Analyst Color:
An analyst said he is concerned despite the snapping of the upward momentum. “Don’t get overly worried, as the third week of June is historically one of the worst times of the year for stocks,” said Carson Group’s Ryan Detrick.
“After the recent run they’ve had, weakness now is normal,” he added.
Futures Today
Futures Performance On Monday
| Futures | Performance (+/-) |
| Nasdaq 100 | -0.44% |
| S&P 500 | -0.39% |
| Dow | -0.39% |
| R2K | -0.63% |
In premarket trading on Monday, the SPDR S&P 500 ETF Trust SPY slipped 0.08% to $432.87 and the Invesco QQQ ETF QQQ declined 0.12% to $362.09, according to Benzinga Pro data.
Upcoming Economic Data:
Consumer, manufacturing, and house price readings dominate the unfolding week’s economic calendar. The market may also receive a fair share of monetary commentary from Fed officials, including Fed Chair Jerome Powell.
Dallas Federal Reserve’s manufacturing business index for June is due at 10:30 a.m. EDT. Economists, on average, expect the index to show contractionary activity, although improving slightly from May’s -29.1 to -26.5 in June.
The Treasury will auction three- and six-month bills at 11:30 a.m. EDT and two-year notes at 1 p.m. EDT.
See also: How To Trade Futures
Stocks In Focus:
- Tesla, Inc. TSLAfell % in premarket trading after Goldman Sachs became the third sell-side firm to downgrade the stock.
- Apple, Inc. AAPL stock could be in focus as the company closes in on the $3 trillion market cap.
- Virgin Galactic Holdings, Inc. SPCE rebounded by more than 3% following the stock’s 18.42%+ slump on Friday in reaction to its capital raise plans.
- Carnival Corp. & plc. CCL is due to report its quarterly results ahead of the market open.
Commodities, Bonds, Other Global Equity Markets:
Crude oil futures edged up 0.10% to $69.23 in early European trading on Monday. The commodity fell 365% in the week ended June 16.
The yield on the benchmark 10-year Treasury note fell 0.047 percentage points to 3.692%.
The major Asian markets moved to the downside on Monday as traders in the region reacted to the unenterprising lead from Wall Street overnight and concerns about lukewarm growth in China. The Shanghai Composite and the Shenzhen indices ended with losses of about 1.50% each.
The Indonesian and South Korean markets bucked the downtrend by recording moderate gains.
European stocks extended their losing streak to the sixth straight session as growth worries and fears about hawkish central bank stances weighed down on sentiment. The averages traded moderately lower in late-morning trading on Monday.
Image and article originally from www.benzinga.com. Read the original article here.