Nasdaq futures bounce as tech selloff eases

FILE PHOTO: A worker cleans the floor of the New York Stock Exchange (NYSE) , U.S., March 20, 2020. REUTERS/Lucas Jackson

(Reuters) – Futures tracking the Nasdaq 100 index rose on Friday as a two-day selloff in technology-related stocks halted, while worries about rising coronavirus cases and a patchy economic recovery weighed on S&P 500 and Dow futures.

Wall Street’s three main indexes bounced earlier this week as investors bet on a loose monetary policy by the Federal Reserve, but gains petered out in the absence of firm details on the central bank’s stimulus plan.

The S&P 500 .SPX and the Nasdaq .IXIC have also come under pressure from investors rotating out of high-flying tech-related stocks and into industrial and transportation firms.

Of the 11 major S&P indexes, industrials .SPLRCI, materials .SPLRCM and energy .SPNY have gained more than 2% so far this week, while communication services .SPLRCL and consumer discretionary .SPLRCD have posted the biggest declines.

At 6:33 a.m. ET, Dow e-minis 1YMcv1 were down 33 points, or 0.12%. S&P 500 e-minis EScv1 were up 2 points, or 0.06% and Nasdaq 100 e-minis NQcv1 were up 48.5 points, or 0.44%.

Tesla Inc TSLA.O rose 2.1% in premarket trading after two analysts raised their price targets on the electric carmaker’s shares ahead of its highly anticipated “Battery Day” event next week.

Volatility is likely to be higher on Friday related to a quarterly expiration of U.S. stock options, stock index futures and index option contracts, known as “quadruple witching”.

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