Stocks are coming off a 530 point rally in the Dow Jones Industrial Average on Tuesday.
U. S. stock futures were flat in overnight trading, as investors juggled optimism about the reopening of the economy and a possible coronavirus vaccine as well as concerns about U. S.-China tensions.
Recent hopes for a return to normal consumer habits has pushed the Dow Jones Industrial Average and S&P 500 to briefly touch key market levels for the first time since early March; however, a escalation of U. S.-Chinese tensions has capped gains.
Dow futures fell about 20 points. The S&P 500 and Nasdaq were also lower, with losses of 5 points and 7 points, respectively.
Stocks started the holiday-shortened week off strong. On Tuesday, the Dow Jones Industrial Average climbed more than 500 points, or 2.2%. The 30-stock average briefly traded above 25,000, a level not seen since early March.
A report from Bloomberg News that said the Trump Administration is weighing sanctions on Chinese firms and officials over the situation in Hong Kong pushed stocks off their highs in the final hour of trading. President Trump said Tuesday afternoon he would make an announcement about the administration’s response to China’s actions by the end of this week.
