U.S. stock futures pointed to a second day of gains on Tuesday, as investors focus on the latest news on the omicron variant of coronavirus.
What’s happening
- Futures on the Dow Jones Industrial Average
YM00,
+0.94%
rose 297 points, or 0.8%, to 35509 - Futures on the S&P 500
ES00,
+1.23%
gained 1.1%, or 52 points, to 4642 - Futures on the Nasdaq 100
NQ00,
+1.72%
jumped 1.7%, or 268 points, to 16111
On Monday, the Dow industrials
DJIA,
+1.87%
surged 657 points, or 1.9%, to 35227. The S&P 500
SPX,
+1.17%
rose 53 points, or 1.2%, to 4592 to get back to its 50-day moving average and the Nasdaq Composite
COMP,
+0.93%
added 140 points, or 0.9%, to 15225.
What’s driving markets
Markets continue to take the view expressed by Dr. Anthony Fauci, President Biden’s chief medical adviser, that early indications about the omicron variant of coronavirus are that it’s less dangerous than the delta variant.
Further good news on the virus came as GlaxoSmithKline
GSK,
+1.24%
said Tuesday that new preclinical studies demonstrated that its sotrovimab antibody retains activity the variant.
“Part of the recovery is no doubt due to growing optimism about the omicron variant, which may be extremely contagious but doesn’t seem to be extremely dangerous,” said Marshall Gittler, head of investment research at BDSwiss Holding.
Also buoying sentiment was China’s decision on Monday to lower reserve requirements for banks.
More concerning to traders, however, is Russia’s buildup of troops along the border of Ukraine. Biden is due to hold a video call on Tuesday with Russian President Vladimir Putin.
On the corporate front, Intel
INTC,
+3.53%
shares surged in premarket trade on a plan to list shares in its Mobileye self-driving-car unit.
