Dow futures pointed to an opening loss of more than 50 points, while S&P 500 futures were little changed. Nasdaq-100 futures traded slightly higher.
Senate Majority Leader Mitch McConnell unveiled the Republican coronavirus relief plan Monday after the bell. The legislation would include relief for jobless Americans, another direct payment to individuals of up $1,200, more Paycheck Protection Program small business loan funds, among other provisions. McConnell said the bill would set federal unemployment insurance at 70% of a worker’s previous wages, replacing the $600 per week which states stopped paying out this week.
The Nasdaq Composite jumped 1.7%, helped by big gains in technology darlings. Netflix rose more than 3%, Amazon gained 1.5% and Apple rose nearly 2.5%.
Gold prices soared to a new record high on Monday. Spot gold traded as high as $1,943.927, surpassing the previous record high price set in September 2011.
“With the U.S. dollar down, it is a day when everything from stocks, commodities, bond yields and gold are higher,” Jim Paulsen, chief investment strategist at the Leuthold Group, told CNBC.
The busiest week of earnings season continues on Tuesday with 3M, McDonald’s Pfizer, JetBlue and Raytheon Technologies all set to report before the opening bell.
Visa, Advanced Micro Devices, Amgen, eBay, Mondelez International and Starbucks report after the bell on Tuesday.
The Federal Reserve starts its two-day policy meeting on Tuesday, followed by an interest rate decision on Wednesday. The FOMC decided to maintain the target range for the federal funds rate at 0-0.25% at its last meeting in June as it continued to deal with the impact of the coronavirus (COVID-19) pandemic on the U.S. economy.
The Conference Board’s consumer confidence index for July will be released at 10 a.m. on Tuesday. Economists polled by Dow Jones are expecting a read of 96, down from June’s read of 98.1.