Premarket: Apple is red

apple premarket red 8-31-21From the Wall Street Journal’s “Stock Futures Point to S&P 500 Notching Fresh Record” posted early Tuesday:

Futures tied to the S&P 500 ticked up 0.3% a day after the broad index closed at an all-time high. Dow Jones Industrial Average futures added 0.2% Tuesday while technology-heavy Nasdaq-100 futures rose 0.4%.

Stocks have powered higher since Federal Reserve Chairman Jerome Powell reiterated Friday that the timing of scaling back on bond purchases—which is likely to begin later this year—won’t have any bearing on subsequent decisions to raise interest rates. Meanwhile, concerns about the elevated number of Covid-19 cases are providing a lift to technology stocks because investors are renewing bets on companies that would benefit from lockdowns and people working from home.

“The fact that the Fed is willing to start to taper in the face of this Delta variant coming through does suggest they have confidence that the economy is going to stand on its own two feet,” said Peter Langas, chief portfolio strategist at Bessemer Trust.

My take: After Monday’s heavy lifting, Apple may need a day of rest.

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