- S&P 500 Futures refrain from extending Friday’s losses, picks up bids of late.
- Upbeat PMIs, faster vaccinations keep traders hopeful even Fed tapering woes tame bulls.
- Headlines from China, covid woes in Asia add to the challenges for risk-on mood.
- Fedspeak, Chicago Fed National Activity Index will be eyed for fresh impulse.
S&P 500 Futures poke intraday high around 4,165, up 0.30% on a day, during early Tuesday. In doing so, the risk barometer justifies the market’s upbeat sentiment after the recent positive activity numbers, published on Friday, as well as faster vaccinations in the West.
The developed countries' readiness to share more of the vaccines with the needy nations, mostly from Asia and Latin America, joins the large-scale immunization in Japan to favor the mood.
Alternatively, the US comments suggesting the coronavirus (COVID-19) outbreak from the Wuhan laboratory and China’s crackdown on commodities challenge the market sentiment. Also on the same line could be Iran’s rejection to keep supporting investigation over its nuclear plants and airplane hijack in Brussels.
It’s worth mentioning that the broad market moves depend upon the US Federal Reserve’s (Fed) reaction to the recent reflation fears as more of the Fed policymakers join the lines of Dallas Fed President Robert Kaplan who keeps campaigning for tapering talks.
Hence, today’s comments from Fed Governor Lael Brainard as well as Chicago Fed National Activity Index for April, prior 1.71, will be the key for investors amid a quiet start to the week.
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