US futures rose late Sunday after Wall Street’s worst week since October.
After initially falling more than 300 points, Dow Jones Industrial Futures YM00,
last rose by about 75 points or 0.2%, while S&P 500 futures ES00,
and Nasdaq-100 futures NQ00,
both also became positive.
The stock tumbled on Friday, with the three main indices having their worst week, and the total month since October, as volatile trading in a number of strongly shortened companies such as GameStop GME,
and AMC Entertainment AMC,
cause concern of a bubble.
Read: What does the decline in the market mean in January for the returns on equities in 2021?
“The Street is buying back the positions that were depleted last week after the debt reduction spilled over the ecosystem of the market,” Stephen Innes, chief global market strategist at Axi, wrote in a note on Sunday. ‘I think it’s still wise to remain cautious, as risk sentiment is likely to turn like a peak in the next 48 hours, amid worrying COVID vaccine efficiencies, especially with the toxic current of the Reddit Red Raiders in traders ‘minds.’
Last week, the Dow DJIA,
closed 3.2% lower, the S&P 500 SPX,
decreased by 3.3% and the Nasdaq Composite COMP,
was 3.5% less. On a monthly basis, the Dow lost 2%, the S&P 500 shook 1.1% and the Nasdaq Composite 1.7%.