WYNN

US STOCKS-Futures fall as rising virus cases spark lockdown fears

Credit: REUTERS/BRENDAN MCDERMID

By Medha Singh

Oct 28 (Reuters) - U.S. stock index futures fell on Wednesday, as rising coronavirus cases globally triggered fears of lockdowns disrupting a nascent economic recovery, while concerns over a contested presidential election also weighed.

Wynn Resorts WYNN.O and United Airlines Holdings UAL.O, companies sensitive to restrictions, dropped more than 1% in premarket trading. Energy firms such as Occidental Petroleum Corp OXY.N fell 2.8% on concerns over fuel demand. O/R

New cases and hospitalizations set records in the U.S. Midwest, while in Europe, concerns over a national lockdown in France sapped investor appetite for risk. MKTS/GLOB

Spiraling pandemic, elevated unemployment levels and U.S. lawmakers failing to strike a deal on fresh fiscal stimulus before the Nov. 3 election sent the S&P 500 and tech-heavy Nasdaq to their lowest close in three weeks on Tuesday.

Wall Street's fear gauge .VIX spiked to its highest level in nearly two months as investors feared a contentious election among other outcomes in the final six-day stretch to the White House race.

Democratic challenger Biden leads President Donald Trump nationally by 10 percentage points, according to the Reuters/Ipsos poll but the competition is tighter in swing states, which will decide the victor.

At 06:28 a.m. ET, Dow E-minis 1YMcv1 were down 1.64% at 26,918 points and S&P 500 E-minis EScv1 fell 1.35% to 3,337.25 points. Nasdaq 100 E-minis NQcv1 dropped 1.05% to 11,465 points.

Microsoft Corp's MSFT.O quarterly results surpassed analysts targets, benefiting from a pandemic-driven shift to working from home and online learning. However, its shares fell 2% after rising 35% so far this year.

The other Big Tech companies - Apple AAPL.O, Alphabet GOOGL.O, Amazon AMZN.O and Facebook FB.O - which are due to report results on Thursday, fell between 0.9% and 1.6%.

(Reporting by Medha Singh in Bengaluru; Editing by Arun Koyyur)

((Medha.Singh@thomsonreuters.com; within U.S. +1646 223 8780, outside U.S. +91 80 6182 2802; Twitter: https://twitter.com/medhasinghs;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Tags

More Related Articles

Sign up for Smart Investing to get the latest news, strategies and tips to help you invest smarter.