Stock futures up slightly after Dow’s turnaround on Thursday

Stock futures rose modestly Thursday night as Wall Street looked to build a strong close in afternoon trading.

Futures contracts linked to the Dow Jones Industrial Average were up about 34 points, or 0.1%. Those of the S&P 500 and the Nasdaq 100 added 0.2% and 0.3%, respectively.

The move in futures comes after stocks bounced off Thursday afternoon trading, with the Dow swinging more than 500 points as cyclical trading gained strength. The strong close broke a recent trend of poor performance on Wall Street and trimmed market losses to date. The Dow and S&P 500 are down less than 0.1% for the week, while the Nasdaq Composite is in the red at 1.8%.

“If you’re positioned like us, which is for a cyclical rally and overweight value sectors, you certainly can’t run a victory lap here. But it’s good to see, after the last six days, the trends that have been in place. for most of the six months they seem to assert themselves, “Jason Trennert, CEO of Strategas Research Partners, said on CNBC’s” Closing Bell. “

Futures were driven by bank stocks, which rose after the Fed announced that banks could resume buybacks and increase dividends starting in late June. The central bank originally said it would lift pandemic-era restrictions in the first quarter, but even the delayed measure gives investors more clarity.

“The banking system continues to be a source of strength and returning to our normal frame after this year’s stress test will preserve that strength,” Vice President of Supervision Randal Quarles said in a statement.

Shares of JPMorgan and Citigroup rose slightly in extended trading, along with other major banks.

On the economic data front, investors will look back at inflation prospects on Friday, with reports for personal income and consumer spending in February.


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