US STOCKS-Futures rebound as tech stocks rise; Oracle delivers strong quarter
Still, many investors view the slump as a healthy consolidation after a stunning five-month rally in the S&P 500 that was powered by a narrow group of heavyweight tech names. The Nasdaq is about 9% below its record closing high, while the S&P 500 is about 7% below its peak, both logged last week.Reuters | Washington DC | Updated: 11-09-2020 17:21 IST | Created: 11-09-2020 16:37 IST
U.S. stock index futures climbed on Friday, with tech shares gaining after a pullback in the previous session, as Oracle's solid quarter restored faith that tech-related companies are emerging stronger from the coronavirus crisis. The cloud services company added 3.4% in premarket trading after its quarterly results beat estimates and it signaled a recovery in client spending due to higher remote working-led demand.
Peloton Interactive Inc surged 11.2% after it beat quarterly revenue estimates as the exercise bike maker recorded a surge in subscribers and increased demand for its fitness products during the pandemic. The so-called "stay-at-home winners", Apple Inc, Amazon.com Inc, Microsoft Corp and Netflix Inc advanced between 1.4% and 2% after selling in some of these mega-cap stocks brought Wall Street's rally to a screeching halt last week.
The three main U.S. stock indexes were headed for a second straight weekly decline, with the Nasdaq eyeing its steepest weekly fall since March after concerns over the massive build-up in call options tied to tech names exacerbated the selloff. Still, many investors view the slump as a healthy consolidation after a stunning five-month rally in the S&P 500 that was powered by a narrow group of heavyweight tech names.
The Nasdaq is about 9% below its record closing high, while the S&P 500 is about 7% below its peak, both logged last week. Recent economic indicators suggest a long and difficult recovery from the pandemic, especially in the labor market. Data at 8:30 a.m. ET (1230 GMT) is expected to show U.S. consumer prices dipped in August from the prior month.
At 6:23 a.m. ET, Dow e-minis were up 177 points, or 0.64%. S&P 500 e-minis were up 26.75 points, or 0.8% and Nasdaq 100 e-minis were up 101.25 points, or 0.91%. Tesla gained 3.1% as two sources said the electric-car maker is planning to export Model 3 vehicles made in China to Asian and European markets.