A Peek Into The Markets: US Stock Futures Edge Lower Following Monday's Rally; Fed's Powell In Focus

Pre-open movers

U.S. stock futures traded slightly lower in early pre-market trade after the Dow Jones jumped more than 500 points in the previous session. Federal Reserve Chairman Jerome Powell is set to testify before a congressional panel today. Investors are awaiting earnings results from Korn Ferry KFY and Cognyte Software Ltd CGNT

Data on existing home sales for May will be released at 10:00 a.m. ET. Existing home sales are expected to decline to a 5.715 annual rate in May from April's 5.850 million. The Richmond Fed's manufacturing index for June is scheduled for release at 10:00 a.m. ET.

Futures for the Dow Jones Industrial Average dropped 29 points to 33,732.00 while the Standard & Poor’s 500 index futures declined 5.50 points at 4,208.25. Futures for the Nasdaq 100 index fell 39 points to 14,091.00.

The U.S. has the highest number of COVID-19 cases and deaths in the world, with total infections in the country exceeding 33,554,310 with around 602,090 deaths. India reported a total of at least 29,977,860 confirmed cases, while Brazil confirmed over 17,966,830 cases.

Oil prices traded lower as Brent crude futures fell 0.4% to trade at $74.58 per barrel, while US WTI crude futures fell 0.8% to trade at $73.11 a barrel. The API’s report on crude oil stocks will be released later during the day.

A Peek Into Global Markets

European markets were mostly lower today. The Spanish Ibex Index fell 0.1% and STOXX Europe 600 Index fell 0.3%. The French CAC 40 Index fell 0.2%, London’s FTSE 100 rose 0.2% while German DAX 30 fell 0.4%. Public sector net borrowing in the UK declined to GBP 24.3 billion in May. Italy's industrial sales rose 3.3% in April following a revised 1.7% growth rise in March.

Asian markets traded mostly lower today. Japan’s Nikkei 225 climbed 3.12%, while Hong Kong’s Hang Seng Index fell 0.63% and China’s Shanghai Composite Index gained 0.80%. Australia’s S&P/ASX 200 rose 1.5% and India’s BSE Sensex rose 0.4%. Hong Kong’s annual inflation rate increase to 1.0% in May from a revised 0.8% rise in the prior month.

Broker Recommendation

Needham initiated coverage on Zoom Video Communications, Inc. ZM with a Hold rating.

Zoom Video shares fell 1% to $365.73 in pre-market trading.

Check out other major ratings here

Breaking News

• Nutrien Ltd NTR boosted its H1'21 adjusted earnings guidance from $2-$2.20 to $2.30-$2.50. The company also raised its FY21 potash sales volume guidance to 13.3 million-13.8 million tonnes.
• Tesla Inc TSLA CEO Elon Musk on Monday reiterated plans to hold an AI Day in about a month aimed to provide a boost to its recruiting plans.
• Boeing Co’s BA longtime top lobbyist and political strategist Tim Keating has left the company, Reuters reported on Monday, citing a company memo.
• Microvision, Inc. MVIS reported a $140 million at-the-market equity offering.

Check out other breaking news here