Futures remained steady in overnight transactions on Tuesday, as investors awaited the inauguration of President-elect Joe Biden.
Dow Jones industrial average futures were flat. The S&P 500 futures rose 0.1% more, and the Nasdaq 100 futures rose 0.3%.
Netflix grew by more than 10% in extended trading after the company reported a strong increase in subscribers and said it was considering repurchasing shares. Netflix easily exceeded estimates for global paid net subscriber additions, reporting 8.5 million compared to the anticipated 6.47 million analysts.
Biden will succeed President Donald Trump as the 46th president of the United States shortly after ET. His inaugural address will focus on the need to bring the country together in the wake of a violent revolt on Capitol Hill and amid extreme partisanship in Congress.
Investors will also be looking for any additional information on the $ 1.9 trillion Covid-19 aid plan presented by Biden last week. On Tuesday, Janet Yellen, nominated by Biden as secretary of the treasury, approved higher spending on aid and urged lawmakers to “act largely.”
“Anything else could happen on the back of the Washington events, while investors are looking forward to big changes in the policy and prospects of a new administration,” said JJ Kinahan, TD Ameritrade’s market strategist.
Wall Street started the week with modest gains. The Dow rose more than 100 points on Tuesday, while the S&P 500 gained 0.8%, gaining a two-day loss. Nasdaq Composite rose 1.5% as large stocks of technology returned due to strong losses last week.
Biden’s stimulus proposal calls for direct payments of $ 1,400 to most Americans, as well as additional unemployment benefits, as well as state and local benefits. He also announced a comprehensive plan to combat the pandemic in the United States, which includes a national vaccination campaign.
The United States has far exceeded its goal of vaccinating 20 million people by the end of last year. While the Trump administration’s Operation Warp Speed delivered more than 31.1 million doses nationwide, only 12.3 million people were inoculated.
“I think there is a very strong light at the end of the tunnel. We just have to get through the next few months,” said Kristina Hooper, Invesco’s global market strategist. “I expect markets to continue to move in anticipation of a solid recovery later in 2021, when vaccines are widely distributed.”
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