X - US Stock Futures Waver After 7-Week Winning Streak: Analyst Sees More Gains Piling Up On Dow's Record Highs | Benzinga
U.S. stock futures indicate a cautious opening on Monday after the market’s seven consecutive weekly winning streak. As the time window for the Santa Claus rally rapidly approaches, investors are expressing concern about the quality of the market run-up thus far. Nevertheless, economic fundamentals are poised to improve in the new year as the Fed gradually reverses its rate hikes. Coupled with a soft landing, this scenario could offer an ideal foundation for stocks to consolidate the gains seen this year.
M&A activity is picking up, and this could be viewed as a signal of confidence in corporate America.
Key Takeaways From Last Week’s Trading:
Tame inflation data and the Fed’s indication of a reversal in its rate hikes in the new year boosted risk appetite in the week ending Dec. 15. The Dow Industrials and the Nasdaq Composite recorded gains for a seventh consecutive session, while the S&P 500, after a six-session winning streak, closed marginally lower on Friday.
The major averages have notched their seventh straight week of gains, with the 30-stock Dow Industrials reaching a record high. The Nasdaq Composite concluded the week at its highest level since Jan. 14, 2022, while the S&P 500 settled just below its peak since Jan. 12, 2022.
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