Traders on the NYSE on May 20, 2022.
Stock futures rose in trading overnight on Sunday after the Dow Jones Industrial Average fell for the eighth straight week amid broad market selloff.
Dow Industrial Average futures rose 170 points, or 0.57%. S&P 500 futures rose 0.7% and Nasdaq 100 futures rose 0.7%.
The move came after the S&P 500 entered an intraday bear market on Friday. The benchmark once fell 20% but did not close in a bear market after a late comeback.
During Friday’s regular trading session, the S&P 500 rose 0.01% to close at 3,901.36, and was down 2.3% at the beginning of the session. After falling 600 points, the Dow rose 8.77 points to 31,261.90, and the Nasdaq fell 0.3%.
The S&P 500 is down 19% from its current all-time high, while the Dow is down 15.4%. The Nasdaq has already entered a bear market, down 30% from its highs.
Last week, the Dow lost eight weeks in a row for the first time since 1923, and the S&P 500 lost seven weeks in a row, the worst since 2001.
The Nasdaq was negative for seven consecutive weeks for the first time since March 2001. The technology-focused index also hit its lowest level since November 2020 on Friday.
Eight of 11 sectors ended the week in the red, led by consumer staples, down 8.63%. The energy sector closed first, up 1.09%. Consumer discretionary and telecom services also closed the week down more than 32% from their 52-week highs.
“Investors are trying to figure out exactly what’s going on and they’re always trying to guess what the outcome is,” said Susan Schmidt, Aviva Investors. “Investors hate uncertainty, and markets hate uncertainty,” she said. “This is a time when there are no clear signs of what will happen with the push-pull between inflation and the economy.”
Investors are anticipating new earnings this week, including a number of large retailers. Zoom Video will report results on Monday, with Costco, Nvidia, Dollar General, Nordstrom and Macy’s expected to report results later in the week.