Technology stocks have pushed U.S. stock futures higher before a week of earnings gains, with investors awaiting results from companies such as Apple, Tesla and Facebook.
Futures linked to the S&P 500 rose 0.2%, indicating a widening of gains that sent the index down nearly 2% and hit a record high on Friday. Futures linked to the Nasdaq-100 rose 1%, indicating that the technology stocks will rise after the opening clock.
China’s most valuable internet company, Tencent Holdings, rose by almost 11% to a record high in Hong Kong trade. Tencent portfolio company Kuaishou Technology, a video recording app like TikTok, has announced an initial public offering that could be valued at about $ 60 billion. The Amsterdam-listed shares of the technical investment group Prosus, one of Tencent’s largest shareholders, rose by 5.5%.
More than a fifth of the broad S&P 500 index and a third of Dow Jones Industrial Average components are expected to earn this week. Starbucks, Verizon and Microsoft are scheduled for Tuesday. Other major tech companies will report later this week, including Apple, Tesla and Facebook on Wednesday.
“The way management communicates their prospects will be key for markets,” said Sophie Chardon, a cross-asset strategy at Lombard Odier. “Investors will have to weigh the possibility of vaccinations with the reality of new closures” and the impact on each company.