Traders working on the New York Stock Exchange (NYSE) today, Wednesday, April 21, 2021.
Stock futures slid after major averages closed the previous session at record closing highs and a busy week of earnings reports of the tech’s biggest hits.
Dow Jones Industrial Average futures lost 157 points. The futures on the S&P 500 and Nasdaq 100 were both trading in negative territory.
In the previous session, the Dow rose 238.20 points, or 0.68%, to 35,061.55. The S&P 500 gained 1.01% to 4,411.79 and the Nasdaq Composite rose 1.04% to 14,836.99.
All three major averages closed at record highs last week after markets slumped earlier in the week on concerns about the spread of the Delta variant of Covid and the potential hindrance to economic recovery. Uncertainty caused bond yields to decline briefly and investors moved into tech stocks. Both bonds and stocks rallied quickly by the end of the week.
Tech stocks rose last week on better-than-expected earnings reports for the second quarter as well as the continued proliferation of the Delta variant. Twitter and Snap both rose Thursday after better-than-expected earnings reports for the second quarter. Twitter finished 3% higher on Friday while Snap shot up 24%.
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One of the busiest weeks with results reports is on deck next week, and Tesla is kicking off after the closing bell. Last week, CEO Elon Musk said the automaker would likely accept bitcoin for vehicle purchases again.
Big tech giants Apple, Alphabet and Microsoft will be reporting on Tuesday, and Google, Facebook and Amazon will be reporting later in the week as well.
Investors will follow the Fed’s two-day monetary policy meeting starting Tuesday. The Federal Reserve Open Market Committee and Board of Governors are expected to issue a policy statement on Wednesday. On Thursday the Ministry of Commerce will publish the GDP data for the second quarter.
On Monday morning, the US Department of Housing and Urban Development will release new data on home sales and the Federal Reserve Bank of Dallas will release its monthly business activity index for Texas manufacturing.
Correction: An earlier version of this report has been corrected to reflect movements in the Dow futures rather than the Dow Jones Industrial Average itself.