Wednesday, July 24, 2024
HomeTrading RoomStock Futures Have not Changed Significantly Since Congress Avoided a Government Shutdown

Stock Futures Have not Changed Significantly Since Congress Avoided a Government Shutdown

Following the interim agreement that prevented a government shutdown reached by US senators on Monday, stock futures saw little change.

The Dow Jones Industrial Average futures saw a little gain. The Nasdaq-100 futures rose 0.2% and the S&P 500 futures rose 0.1%. The Dow futures were up by more than 100 points early in the session.

With only a few hours to go before a deadline of Saturday at midnight, the Senate approved a continuing resolution, which President Joe Biden subsequently signed into law. The bill extends the time the government is open by 45 days, giving legislators plenty of time to finish drafting funding legislation.

According to Jamie Cox, managing partner at Harris Financial, “investors don’t like to be run to the edge of the cliff continually.” “We should see a very good reaction in the markets,” according to the absence of a shutdown.

Investors expected Congress will eventually engage in another shutdown dispute as Saturday’s accord did nothing to address simmering differences on total government spending levels, the border, and Ukraine. As a result, futures gains were constrained.

Markets will begin to discount this event as occurring in 2024 rather than 2023, according to Cox. “They’re just going to keep putting it off and move this into an election year.”

Source (CNBC)

SourceCNBC
- Advertisment -

Most Popular

Recent Comments