Stock index futures damp optimism market will extend rebound

By StocksFOXBusiness

Equity market investors watching U.S. stock index futures were less certain that a rally on the heels of a historic sell-off would extend for another day

S&P 500 futures fell 10 points, or 0.37%, while those on the Dow Jones industrial average declined 53 points, or 0.21%. Brent crude oil prices climbed 4 cents to $66.90 a barrel.

Continue Reading Below

Stocks in the U.S. bounced back Tuesday in another day of volatility on Wall Street as the Dow swung through triple-digit gains and losses on the heels of a historic sell-off.

The Dow soared 567 points, or 2.3%, to 24,912. The S&P 500 advanced 46 points, or 1.8%, to 2,695. The Nasdaq Composite added 148 points, or 2.13%, to 7,115.

UBS Senior Vice President of Wealth Management Jim Lacamp said that the market’s retreat Friday and Monday was “long overdue,” saying investors should expect more volatility in the coming days. But the market is probably closer to where investors can buy rather than sell, he said.

U.S. equities endured wild swings in recent sessions on concern that accelerating inflation will force the Federal Reserve to raise interest rates faster than expected.

As a consequence, low unemployment, robust corporate earnings and brisk consumer spending may not necessarily be good for the stock market.

Traders jumped back into stocks late in Tuesday’s session. The Dow, an index made up of the nation's 30 largest, publicly traded companies, stumbled at the open, falling more than 500 points and flirting with correction territory, before mounting a recovery.

The blue-chip index hit session highs in the final hour of trading, rising as much as 1,168 points from its morning lows. The see-saw day on Wall Street came a day after the Dow lost a record 1,175 points.

This story has been updated.

More from FOX Business

Continue Reading Below

What do you think?

Click the button below to comment on this article.