Futures Slide For Second Day Amid Renewed Virus Worries

S&P 500 and Nasdaq 100 stock futures extend declines for a second day, with both down about 0.5% as of 7:00 am in New York as travel and leisure stocks led the move, indicating fresh concerns over reopenings. US futures tracked Europe’s Stoxx 600 index which was 1.1% lower, its biggest drop in a month as a growing tally of virus cases primarily in emerging markets tempered enthusiasm for a global growth rebound. Bond yields fell. 

Some notable premarket moves:

  • United Airlines dropped 2.1% after the carrier booked a bigger-than-expected loss for the first quarter.
  • IBM gained 2.8% as it reported its biggest revenue gain in 11 quarters boosted by its bets on the high-margin cloud computing business.
  • Johnson & Johnson, whose COVID-19 vaccine was put on pause last week to review reports of rare blood clots, tightened its forecast for profits this year. Its shares slipped 0.2%.
  • Altria extended Monday’s declines, British American Tobacco shares tumbled as much as 7.3% in London, while Imperial Brands also drops as much as 7.3%, after Dow Jones reported the Biden administration is considering only allowing cigarettes with non-addictive nicotine levels, as well as a possible ban on menthol cigarettes. Analysts noted regulatory pressures in the past, and said any new policies may take years to implement.  Altria extended Monday’s declines spurred by a Wall Street Journal report saying the U.S. government may only allow cigarettes with non-addictive nicotine levels.


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