(Reuters) – Futures following the S&P 500 and Dow rose Thursday as investors awaited details on President-elect Joe Biden’s stimulus proposals and data on a labor market that is struggling to recover.
The number of Americans filing for unemployment insurance increased to 795,000 last week from 787,000, the Department of Labor report should show, which could underscore the impact of new COVID-19 infections on the job market.
However, major Wall Street indices are close to record highs and the S&P 500 has risen in six of the past seven sessions as investors count on President-elect Joe Biden to unveil a stimulus plan Thursday night that could exceed $ 1.5 trillion. to restart the economy.
Analysts said short-term political uncertainties in Washington, an unstoppable rise in coronavirus cases, and a slower-than-expected introduction of vaccines could hamper gains for short-term stocks.
President Donald Trump became the first president in US history to be indicted twice when the House voted 232-197 Wednesday to accuse him of inciting riots on the Capitol. The impeachment process threatens to suspend the start of Biden’s term.
By 6:51 am ET, Dow E-minis were up 77 points, or 0.25%, and S&P 500 E-mini were up 4.25 points, or 0.11%.
The Nasdaq 100 E-mini was down 19 points, or 0.15%, as Tesla Inc fell 1.3% ahead of market after the electric car maker was asked to recall 158,000 Model S vehicles and Model X for touchscreen failures that could lead to security risks.
Taiwan Semiconductor Manufacturing Co Ltd’s US-listed shares rose 3.1% after posting its best-ever quarterly profit and raising its revenue and capital expenditure estimates to record highs, predicting “more years of business opportunity. growth”.
The focus shifts to the earnings season with the results from JPMorgan and Citigroup and other large banks are scheduled for Friday.
According to investment banks, first-quarter and 2021 corporate guidance will be crucial for investors as new blocs threaten to fend off a recovery in corporate earnings.
Reporting of Devik Jain in Bengaluru; Editing by Maju Samuel