Stock futures rose slightly on Tuesday night as Wall Street turned the page to another month.
Dow Jones Industrial Average futures added 98 points, or 0.3%. Those of the S&P 500 rose about 0.2%. Nasdaq 100 futures gained about 0.2%.
The futures move came after a day of decline for equities, with the Dow Jones falling 222.8 points, or 0.7%, in a choppy trading session. The S&P 500 and the Nasdaq Composite fell 0.6% and 0.4% respectively.
For May, the Dow Jones and S&P 500 were little changed, after last week’s strong rally ended the indices’ long losing streaks. The Nasdaq Composite underperformed, losing more than 2%.
With the first quarter earnings season almost over and the Federal Reserve strongly signaling rate hike intentions for its next two meetings, stocks may struggle to orient themselves over the summer.
“It’s better to wait and see how the next quarter plays out. When we get to the end of July, we’ll have a better picture. Until then, I think we’re going to see a very choppy market with a downtrend. Further in a bear market,” said Max Gokhman, chief investment officer at AlphaTrAI.
A potential source of optimism for the markets overnight is Salesforce, whose first-quarter results beat expectations. The stock rose more than 7% in extended trading.
On Wednesday, investors will get an updated look at manufacturing and construction spending data. The first day of June also marks the start of the Fed’s plan to shrink its balance sheet, which exploded to nearly $9 trillion during the Covid pandemic.