U.S. equity futures opened slightly higher on Tuesday night, following the S&P 500’s seven-month winning streak in August.
Dow Jones Industrial Average futures rose 36 points, or 0.10%. The S&P 500 and Nasdaq 100 futures contracts rose 0.11% and 0.05% respectively.
The Dow Jones Industrial Average lost 39.11 points, or 0.11%, to close at 35,360.73 in regular trading. The S&P 500 lost 0.13% and the Nasdaq Composite lost 0.04%.
All the major averages for August ended up. The S&P 500 rose 2.9% for the month, marking its seventh consecutive month. The Nasdaq Composite gained around 4% and while the Dow lagged, it still gained 1.2%.
Combined with the much-anticipated Federal Reserve meeting in September and lingering concerns about the delta Covid version, some strategists are looking for a correction in September, as stocks have not registered significant gains since last October.
LPL Chief Financial Markets Strategist Ryan Detrick said: “While this bull market has scoffed at almost any sign of concern in 2021, it should be remembered that September has historically been the worst month in the world. the year for stocks. ” “Even last year, in the face of a huge rally from the March 2020 lows, we saw a correction of around 10% in mid-September.”
He added that any weakness could be short-lived and could be contained within a 5-8% range.
“This bull market is alive and well and we will view any potential weakness as an opportunity,” he said.
Investors are focusing on August data on non-farm wages in the United States, which will be released later this week, to get a glimpse of the likely path of the Fed’s monetary policy. Dow Jones economists expect 750,000 jobs to be created in August and the unemployment rate to fall to 5.2%.
Campbell Soup is expected to report profits before the bell Wednesday. Brown-Forman will report after the bells ring.