US futures jump as fears about Omicron COVID-19 variant cool after Friday's massive stock sell-off

Asia's Tech News Daily

US futures jump as fears about Omicron COVID-19 variant cool after Friday's massive stock sell-off
© Spencer Platt/Getty Images US stocks looked set to rally on Monday. Spencer Platt/Getty Images

  • US futures rose Monday, after stocks tumbled Friday thanks to fears about the Omicron COVID-19 strain.
  • European shares also gained in early trading, along with oil and crypto, after Asian stocks fell overnight.
  • Investors may take heart from weekend developments, including signs that Omicron symptoms are mild so far.

US futures rose along with European shares Monday, as investors’ fears about the new Omicron coronavirus variant cooled somewhat, following Friday’s panic-driven sell-off.

S&P 500 futures were up 0.6%, Dow Jones futures were 0.4% higher, and Nasdaq 100 futures were up 0.8%, indicating gains at the start of trading later in the day.

In shortened trading Friday, the S&P 500 tumbled 2.27%, the most since February, as the discovery of the new Omicron strain raised the prospect of fresh lockdowns and travel bans. That sparked concerns about the impact on global economic recovery.

In Europe, the continent-wide Stoxx 600 rose 0.67% in early trading after plunging Friday. The UK’s FTSE 100 climbed 0.78%.

Asian stocks dropped overnight, having fallen less sharply on Friday. Tokyo’s Nikkei 225 closed 1.63% lower, while China’s CSI 300 fell 0.18%.

Monday’s rally came after a weekend in which scientists were racing to find out more about the Omicron variant, which was first discovered in southern Africa.

Investors may have taken heart from some developments, which included a South African doctor saying symptoms of the Omicron variant have so far been very mild, according to Reuters.

Pharmaceutical company Moderna’s chief medical officer Paul Burton also told the BBC’s “Andrew Marr Show” that large quantities of new, Omicron-adjusted vaccines could be ready in early 2022. “We can move very fast,” he said.

However, scientists are still working to discover whether Omicron, which is heavily mutated compared with other strains, is more severe and lethal. The World Health Organization said “more information will emerge in the coming days and weeks.”

Investors appeared to be treating the sharp sell-off as a buying opportunity on Monday, following the playbook that has worked out well this year. Even after the recent losses, major US equity markets have logged big gains, with the S&P 500 up 22% in 2021.

Lori Calvasina, RBC Capital Markets’ head of US equity strategy, said in a note she would not be surprised if Friday’s rout was the low point for stocks.

“We know how the COVID playbook ends — with buying the dip. The lessons of March 2020 and Fall 2021 are likely still fresh on many investors’ minds and may help to limit downside.”

Traders now expect the US Federal Reserve to raise interest rates more slowly than previously expected, penciling in the first hike for July rather than June.

“The current malaise should delay the immediate pressure on monetary tightening as central banks assess the potential economic damage from the new strain,” said Richard Hunter, head of markets at Interactive Investor.

Elsewhere in markets, oil prices rallied after tumbling Friday. Brent crude, the global benchmark price, was up 4.16% to $74.57 a barrel, while WTI crude was 4.7% higher at $71.33 a barrel.

Cryptocurrencies were recovering after dropping Friday, with bitcoin 5.5% higher at $57,367 on the Bitstamp exchange.

Bond yields rose as investors moved away from the safe-haven assets in favour of equities. The yield on the key 10-year US Treasury note climbed 5.6 basis points to 1.541%. Yields move inversely to prices.

Despite the rise in stocks, analysts cautioned that many risks remain. Hunter said the global economic recovery is set for “an unwelcome detour” as the spread of Omicron causes countries to react strongly with new restrictions.

“However, the weeks ahead are fraught with danger for investors, with traders now likely to see any major updates associated with this new variant as a priority over most other economic data points,” said Joshua Mahony, senior market analyst at trading platform IG.

Read the original article on Business Insider

Internet Explorer Channel Network
Asia's Tech News Daily
News Related

OTHER NEWS

Marcos camp ‘extends hand of unity' after COC cancellation petition is thrown out

© Philippines Daily Inquirer MANILA, Philippines — The camp of former senator Ferdinand “Bongbong” Marcos Jr. said it is extending its “hand of unity even to the fiercest of adversary” ... Read more »

Ashmore assets decline again on weak emerging markets, outflows

LONDON (Reuters) -Investment group Ashmore said on Monday that weakness in emerging markets over the last three months of 2021 led to a further decline in assets. Ashmore said assets ... Read more »

Apple may have dropped built-in noise cancellation on the iPhone 13

Apple’s “Noise Cancellation” accessibility feature has been a staple on past iPhones, but may have been permanently removed from the iPhone 13 series, 9to5Mac has reported. The feature is designed ... Read more »

Ford government could lose $2.8B over 5 years in online gambling bet, confidential report warns

As Premier Doug Ford’s government prepares to open up the online gambling market in Ontario, there’s a warning that its plans could see the province and municipalities lose out on hundreds ... Read more »

The Beatles albums ranked in order of greatness

On 26 September 1969, the last album recorded by The Beatles was released. More than five decades after the Fab Four split, the world is still fascinated by the music ... Read more »

Sara Evans' estranged husband arrested for allegedly attempting to hit her with his car

Sara Evans’ estranged husband, Jay Barker, has been arrested for allegedly attempting to drive into the car the singer was travelling in. © Provided by Cover Media Sara Evans The ... Read more »

Sonst droht eine Busse: Corona-Impfpflicht für über 60-Jährige in Griechenland in Kraft

Ungeimpfte Griechen über 60 werden von nun an zur Kasse gebeten: Wer sich die Corona-Impfung weiterhin nicht verabreichen lässt, wird im Januar mit 50 Euro Strafe belegt, von Februar an ... Read more »

«Schäm dich, Australien!» – Reaktionen zur Absage an Djokovic

© keystone Teaserbild © keystone Daheim stehen sie zu ihm: Wandgemälde für Novak Djokovic in Belgrad. Der Entscheid, Novak Djokovic die Einreise nach Australien zu verweigern, löste kontroverse Reaktionen aus. ... Read more »

Energiewende: Sommaruga für raschere Bewilligung von Wind- und Wasserkraftanlagen

Umweltministerin Simonetta Sommaruga will, dass Wind- und Wasserkraftanlagen schneller bewilligt werden. Sie plant deshalb, dem Bundesrat «demnächst» eine Beschleunigungsvorlage zu unterbreiten, wie sie in einem Zeitungsinterview sagte. © Bereitgestellt von ... Read more »

Schweizer Unternehmen kennen ihren CO₂-Ausstoss nicht

Spätestens nächstes Jahr müssen Schweizer Firmen ihren CO₂-Ausstoss messen können. Jetzt zeigt eine Umfrage von PWC: Sie sind darauf überhaupt nicht vorbereitet. © Foto: Maxime Schmid (Keystone) Ab 2023 müssen ... Read more »

Peter Spuhler angelt sich grössten Auftrag der Firmengeschichte

Der Schweizer Zugbauer hat einen Grossauftrag für ein deutsch-österreichisches Projektkonsortium erhalten. Der Deal ist bis zu 4 Milliarden Euro wert. © Foto: Gian Ehrenzeller (Keystone) Gute News für Firmenpatron Peter ... Read more »

Reist er nicht nach Serbien?: Djokovic soll auf dem Weg nach Spanien sein

© Bereitgestellt von Blick Djokovic soll auf dem Weg nach Spanien sein Der 34-jährige Weltranglistenerste, der sich wiederholt kritisch über Corona-Impfungen geäussert hatte, war am Mittwoch, 5. Januar für die ... Read more »

Youth solon calls for 'health break' for all educational institutions amid COVID-19 spike

Kabataan party-list Representative Sarah Elago on Monday called on the Commission on Higher Education (CHED) and the Department of Education (DepEd) to implement a health break in all educational institutions ... Read more »

Government Intervenes ​in Chaos at Kashmir Press Club, Grants Control of Land to Estate Department

Amid the ruckus over the locking of the Kashmir Press Club (KPC) on Sunday for a week, the government granted control of the land and building to the Estate Department. ... Read more »

Unilever signals pursuit of GSK consumer arm; shares fall

© Reuters/Piroschka Van De Wouw FILE PHOTO: Unilever headquarters in Rotterdam (Reuters) -Unilever signalled on Monday it would pursue a deal for GlaxoSmithKline’s consumer health business, calling it a “strong ... Read more »

Nato joins Dillmann as Jaguar Formula E reserve driver

The winner of last year’s season finale in Berlin, Nato was displaced from his Venturi drive by Lucas di Grassi – who made the move to the Mercedes-powered squad following ... Read more »

China stocks end higher on GDP data, policy loan rate cut

SHANGHAI: China stocks closed up on Monday after the country’s economy grew faster than expected in the final quarter of 2021 but the growth was still at its weakest pace ... Read more »

Energy stocks boost Australian shares, miners cap gains

Australian shares ended higher on Monday, boosted by energy stocks after oil prices rallied, although the gains were capped by weak mining stocks as top metals consumer China logged its ... Read more »

Action in den NFL-Playoffs: Brady begleicht offene Rechnung mit den Eagles

© Bereitgestellt von Blick Brady begleicht offene Rechnung mit den Eagles Football-Star Tom Brady (44) nimmt mit Titelverteidiger Tampa Bay Buccaneers mühelos die erste Hürde in den Playoffs der US-Profiliga ... Read more »

Union Budget 2022: Even LIC IPO may not rescue FY22 divest aim

NEW DELHI – With the Centre managing to garner only around Rs 12,300 crore through stake sales and privatisation so far in the current financial year, it seems a foregone ... Read more »

Senator fühlt sich von Fauci so beleidigt, dass er das FAUCI-Gesetz einführen möchte

© Susan Walsh/keystone-sda.ch FILE – In this March 18, 2021, file photo, Sen. Roger Marshall, R-Kan., speaks during a Senate Health, Education, Labor and Pensions Committee hearing on the federal ... Read more »

VIDEO: Eddie "The Beast" Hall zerstört Box-Automaten

© YouTube/ Eddie ‘The Beast’ Hall (Screenshot) Eddie Eddie “The Beast” Hall hat ordentlich zugelangt – dieses Mal zum Nachteil eines Box-Automaten. Eddie “The Beast” Hall hat richtig was auf ... Read more »

Bericht: Johnson sagt wegen "Partygate" vor interner Ermittlerin aus

© Keystone/PA Wire/Dominic Lipinski Begleitet von neuen Vorwürfen in der “Partygate”-Affäre hat der britische Premierminister Boris Johnson einem Bericht zufolge vor einer internen Ermittlerin ausgesagt. Der Regierungschef habe der hohen ... Read more »

Südkorea: Nordkorea setzt Raketentests fort

© Keystone/AP/Lee Jin-Man Trotz neuer US-Sanktionen setzt Nordkorea seine Raketentests fort. Am Montag seien zwei Raketen vom Sunan-Flughafen in der Hauptstadt Pjöngjang nach Osten in Richtung des Meers abgefeuert worden, ... Read more »

Grösster Auftrag in der Firmengeschichte: Stadler Rail erhält Zuschlag für bis zu 504 Tram-Trains

Beim Thurgauer Schienenfahrzeughersteller Stadler Rail knallen die Korken. Es hat den Zuschlag für den grössten Auftrag in der Unternehmensgeschichte mit einem Gesamtvolumen von bis zu vier Milliarden Euro erhalten. © ... Read more »

Le Mans-Renner dreht erste Runden - Porsche LMDh (2023)

Porsches Ankündigung, in die Top-Klasse des Prototypensports zurückzukehren, war im Dezember 2020 für viele Fans besser als jedes Weihnachtsgeschenk gewesen. Ein Jahr später gab es erste Bilder vom Renner, der ... Read more »

Why did Jidion get banned on Twitch?

TWITCH has permanently banned Jidion following his first verified stream. He is said to have launched a “hate raid” on Pokimane’s stream on January 12. Jidion has now been permanently ... Read more »

Unilever sees future in health and beauty after £50bn bid for GSK unit revealed

Unilever has said that its future lies in health, beauty and hygiene businesses after its £50 billion bid for GSK’s consumer unit was revealed over the weekend. The business said ... Read more »

UK accounting watchdog extends probe into Babcock audits

© Reuters/Wolfgang Rattay FILE PHOTO: Logo of Price Waterhouse Coopers of PWC office in Berlin LONDON (Reuters) – Britain’s accounting watchdog said on Monday it has broadened its investigation into ... Read more »

Willing to splurge on a camera? You can now get your hands on the new Leica M11 for P523k

Are you willing to spend big bucks on a hobby? Photography enthusiasts can now get their hands on the new Leica M1 for P523,300. The Leica M11 is a rangefinder ... Read more »

CYRIL RAMAPHOSA: Parly fire showed how strongly citizens feel about democracy

© @MolotoMothapo Parliament’s National Assembly on fire again after a flare-up on 3 December 2022. OPINION Dear Fellow South African, As South Africa entered the new year, we were confronted ... Read more »

Norway's Labor Minister Tajik wants inspectors to crack down on work environment-related crime

Minister of Labor and Social Inclusion Hadia Tajik (AP) has ordered the Norwegian Labor Inspection Authority and the Petroleum Safety Authority Norway to issue more fines, according to the newspapers ... Read more »

Kim Kardashian and Kanye West 'avoided each other' at daughter's birthday

Kim Kardashian and Kanye West reportedly tried to “avoid each other” at their daughter Chicago’s fourth birthday party. Rapper Kanye, 44, spent the morning lashing out as he claimed he ... Read more »

The Blacklist season 9: Panabaker to be exposed for blackmailing Cooper as fans spot clue?

© NBC The Blacklist: Harold Cooper With episode eight recently hitting the screens fans are well into season nine of The Blacklist and have spotted some major clues. Specifically, about ... Read more »

Two arrested after boy, 16, dies in shooting in house in Amsterdam

Photo: Depositphotos.com A 16-year-old boy has died in a shooting in a house in Amsterdam, police have confirmed. Emergency services were called to Sinderenstraat, in the Zuidoost district, where they ... Read more »

I'm a flight attendant and I have a scar from this dangerous thing passengers always do

A FLIGHT attendant has revealed one annoying thing passengers always do – that has even left her with a scar. Jana Steinhagen, who works at British Airways, explained that she ... Read more »

Our expert Squeeze Team are on hand today with FREE money advice – here's how to get in touch

MILLIONS of households will be hit with a tidal wave of bill increases in April.  You’ve probably already noticed your money isn’t going as far as it used to, with ... Read more »

Furious bride flogs her wedding dress for just £100 after she discovers groom ‘cheating with her son's godmother'

A WOMAN is selling her wedding dress for just £100 after she caught her husband-to-be cheating with a family member. Posting the advert on Facebook, the Scottish woman revealed that ... Read more »

Peter Andre's wife Emily thrilled by present from their son Theo, 5, after Katie Price's shock attack

PETER Andre's wife Emily has revealed how she was lift thrilled by a surprise present from her son Theo after Katie Price's shock attack. The NHS doctor took to Instagram ... Read more »

My boyfriend killed my disabled daughter, 3, in cold blood after she refused to eat lunch – his nice guy act tricked me

A HEARTBROKEN mum of a toddler who was killed by her step-dad has slammed his “incredibly” lenient sentence. Hannah Butler, 29, was horrified after her ex Paul Marsh attacked little ... Read more »
On free-english-test.com you will find lots of free English exam practice materials to help you improve your English skills: grammar, listening, reading, writing, ielts, toeic