US Stocks Likely To Open Higher: Expert Says 'The Selling Pressure Is Starting To Be Exhausted'
U.S. stock futures rose on Monday following Friday’s advances. Futures of major benchmark indices were higher in premarket.
U.S. President Donald Trump on Friday temporarily exempted smartphones, computers, and chips from new U.S. reciprocal tariffs, despite a 20% tariff remaining on all Chinese goods, reversing part of a recently imposed 145% tariff.
However, the Commerce Secretary Howard Lutnick indicated these electronics exemptions are temporary, and further tariffs could follow soon. Investors also assessed the upbeat bank earnings and cooler-than-expected inflation data.
The 10-year Treasury bond yielded 4.46% and the two-year bond was at 3.92%. The CME Group's FedWatch tool’s projections show markets pricing a 79.3% likelihood of the Federal Reserve keeping the current interest rates unchanged in its May meeting.
Futures
Change (+/-)
Dow Jones
1.00%
S&P 500
1.44%
Nasdaq 100
1.69%
Russell 2000
0.95%
The SPDR S&P 500 ETF Trust (NYSE:SPY) and Invesco QQQ Trust ETF (NASDAQ:QQQ), which track the S&P 500 index and Nasdaq 100 index, respectively, rose in premarket on Monday. The SPY was up 1.47% to $541.71, while the QQQ advanced 1.75% to $462.35, according to Benzinga Pro data.
Cues From Last Session:
U.S. stocks finished Friday’s session higher, fuelled by robust bank earnings from JPMorgan Chase & Co. (NYSE:JPM) and Morgan Stanley (NYSE:MS), alongside surprisingly cooler producer inflation data up 2.7% year-on-year in March, down by 0.4% monthly.
All S&P 500 sectors saw gains, with energy, information technology, and materials stocks leading the advance.
The positive sentiment resulted in significant weekly gains for the major averages: the S&P 500 rose 5.7%, its best week since November 2023, the Nasdaq surged 7.3%, its best week since November 2022, and the Dow climbed approximately 5%.
The Dow Jones index climbed 619 points or 1.56% to 40,212.71, whereas the S&P 500 index advanced 1.81% to 5,363.36. Nasdaq Composite rose to end 2.06% higher at 16,724.46, and the small-cap gauge, Russell 2000, jumped 1.57% to 1,860.20.
Index
Performance (+/-)
Value
Nasdaq Composite
2.06%
16,724.46
S&P 500
1.81%
5,363.36
Dow Jones
1.56%
40,212.71
Russell 2000
1.57%
1,860.20
Insights From Analysts:
According to Louis Navellier of Navellier & Associates, given the severe selling in the stock market and high trading volume, ...
https://www.benzinga.com/general/market-summary/25/04/44784107/us-stocks-likely-to-open-higher-expert-says-the-selling-pressure-is-starting-to-be-exhaust
