U.S.Stock Market Future Indications, by MarketWatch on June 29, 2016: U.S. Poised to Rise Again as Brexit Worries Fade
U.S. stock futures pointed to a higher open on Wall Street Wednesday, with appetite for buying reviving as Brexit worries subsided, and as investors waited for reports on consumer spending and home sales.
Futures for the Dow Jones Industrial Average YMU6, +0.57% drove higher by 70 points, or 0.4%, to 17,371.00, and futures for the S&P 500 ESU6, +0.59% rose 8.35 points, or 0.4%, to 2,036.75. Nasdaq-100 futures NQU6, +0.67% pushed up 20 points, or 0.5%, to 4,301.00.
“Why are the markets up? [Isn’t the U.K] leaving the world’s largest trading bloc? Well, that’s the thing — not for a while, it seems,” wrote Augustin Eden, analyst at Accendo Markets, in a note. “Post-Brexit is years away, and the politicians are cleverly stalling the process of, er, starting the process.”
The U.K. has yet to trigger Article 50 of the EU’s treaty, the first step in the withdrawal process, even as EU leaders push for a quick start to exit negotiations. British Prime Minister David Cameron, who has announced his resignation, has said he will leave to exit process to his successor.
On Tuesday, the Dow Jones Industrial Average DJIA, +1.57% jumped 269.48 points, or 1.6%, to 17,409.72. It lost 900 points in the two sessions after the Brexit vote. The S&P 500 index SPX, +1.78% picked up 1.8%, while the Nasdaq Composite IndexCOMP, +2.12% closed up 2.1%.
Economic data: Readings on personal income and consumer spending for May are due at 8:30 a.m. Eastern Time. At the same time, the report on May core inflation, which strips out food and energy prices, is set for release.