Stock futures jump overnight Monday trading as investors brace for what might an unpleasant earnings season with the COVID-19 bring about havoc on worldwide corporate profits. Dow Jones Industrial Average futures jump to 256 points, mentioning a Tuesday opening gain of around 289 points. Nasdaq futures and the S&P 500 were higher.
Earnings season set to start on Tuesday with Johnson & Johnson, JPMorgan Chase, and Wells Fargo reporting numbers in the morning. However, the first set of results will give investors thought of how overwhelming the hit to companies may from the coronavirus outbreak.
According to Refinitiv, experts except S&P 500 earnings growing to decay 10.2% in the 1st quarter year-over-year. There is also a typically extensive range of evaluations given the extraordinary doubt from the pandemic. Equity strategist for LPL Financial, Jeff Buchbinder, said that even the lowered prediction might prove positive given some forecasters not adjusted numbers since mid-March in reply to the lockdowns in several big cities across the country.
According to Refinitiv, for the 1st quarter, eighty-eight adverse earnings pre-announcements issued by S&P 500 firms. A tendency of some big corporations already takes out their guidance of complete-year.
Looking for a bottom
What’s the situation of Coronavirus in the United States?
Following the last week’s huge rebound, stocks drop on Monday for the first time in three sessions as investors keep on edge about the COVID-19 pandemic. According to Johns Hopkins University, the United States confirmed virus cases rose to almost 560,800 as of Monday statistics, the highest number in the world. Moreover, the death toll in America risen to over 22,800 amid the outbreak.
Andrew Cuomo, the Governor of New York, smash into a positive tone about the novel coronavirus in New York state, the epicenter of the epidemic in the U.S. Furthermore, on Monday, he said it appears that they combat the worse time if they continue to go smart against it. Almost over ten thousand people died due to the pandemic in the New York state.
Whereas, on Monday, the American President Trumps said in a press conference that the growth of new cases of COVID-19 now stabilized, that clearly indicates the successful mitigation.
Over the weekend, the number of daily new infections remained flat.
Thanks to the efforts of every American, our strategies are working. pic.twitter.com/4hXoE09q49
— The White House (@WhiteHouse) April 13, 2020