By Barbara Kollmeyer
U.S. stock futures pointed higher on Wednesday, with technology set to take the lead on the heels of a record quarter reported by Apple and ahead of a policy decision from the Federal Reserve. That’s as the death toll rose again from the coronavirus and the number of China’s infected reaches nearly 6,000.
After the Dow snapped a five-day losing streak on Tuesday, futures for the index were up 0.3%, while Nasdaq-100 futures climbed 0.5%. S&P 500 futures rose 0.4%.
Alongside Apple, shares of GE are climbing on well-received results and investors will also hear from Boeing and McDonald’s among many others, with Microsoft, Facebook and Tesla due after the close.
Earnings will remain the driving force for markets on Wednesday, said Peter Cardillo, chief market economist at Spartan Capital. “On the macro front, the Fed’s decision on rates and the Fed Chief press conference are not likely to produce any surprise as we expect the Fed to remain steadfast,” he added.
Alongside those big events, investors are weighing up the latest coronavirus news, amid reports the U.S. is considering a ban on flights from China over the outbreak. It may prove a big test for both the old and new investor.
Eric Schoenstein, portfolio manager for the Jensen Quality Growth Fund at Jensen Investment Management, has some advice for investors looking to ride out market storms: Seek solid companies with strong business models and a competitive advance to keep the free cash flow coming.
The top five holdings in the fund and some long-term favorites are United Technologies, Microsoft, PepsiCo, Beckton Dickinson and Johnson & Johnson. Read more here.
(END) Dow Jones Newswires