Technology stocks pushed US stock futures ahead of a blockbuster week in earnings, with investors awaiting results from companies such as Apple, Tesla and Facebook.
Futures tied to the S&P 500 stood at 0.3%, indicating an expansion of gains that closed the index nearly 2% higher and a record Friday. Nasdaq-100 advanced 1% futures, suggesting rally in tech stocks after the opening bell.
China’s most valuable internet company, Tencent Holdings, jumped nearly 11% to a record high in Hong Kong Trading. Kuashio Technology, a Tencent portfolio company with a video recording app like Twixtock, announced an upcoming IPO, which could be valued at around $ 60 billion. Amsterdam-listed shares of Tech Investment Group Prosus, one of Tennessee’s largest shareholders, rose 5.5%.
More than one-fifth of the broader S&P 500 index and a third of the Dow Jones Industrial Average components are scheduled to issue earnings this week. Kleenex and Huggies producer Kimberly Clarke is set to report on Monday before the market opens. Starbucks, Verizon and Microsoft are slated for Tuesday. Other major tech companies are reporting later in the week, including Apple, Tesla and Facebook on Wednesday.
“The way management will communicate their approach will be important to the markets,” said Sophie Chardon, Lombard Odier’s cross-asset strategist. “Investors need to weigh the possibility of vaccination with the reality of the new lockdown” and the impact on each company.