U.S. equity futures are pointing to a higher open when the Friday trading session begins on Wall Street.
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Nasdaq futures suggest a gain of 0.7%, with the Dow pointing 0.4% higher.
Reports of surging COVID-19 cases have had a sobering effect on markets that had advanced on hopes for a vaccine and expectations that pro-business policies would continue after last week’s U.S. elections.
The trend is worsening in the U.S., in almost every state. In New York, for example, the state is ordering restaurants, bars and gyms to close at 10 p.m., beginning Friday.
New York was devastated by the virus earlier this year but seemed to have gotten it largely under control. In Europe, several governments have brought back even tougher restrictions that will likely restrain the economy.
|I:DJI||DOW JONES AVERAGES||29080.17||-317.46||-1.08%|
|I:COMP||NASDAQ COMPOSITE INDEX||11709.588657||-76.84||-0.65%|
On Thursday, the S&P 500 index fell 1%, to 3,537.01. The Dow Jones Industrial Average dropped 1.1% to 29,080.17 and the Nasdaq composite lost 0.7%, to 11,709.59.
Declines in U.S. Big Tech stocks, which have held out well throughout much of the pandemic, helped pull the market lower. Microsoft and Facebook each slipped 0.5% on Wall Street.
On Friday, there are a couple of economic reports to watch.
Producer prices for October are expected to increase 0.2%, according to Refinitiv forecasts, or half the 0.4% rise in September. Year-over-year, prices paid by wholesalers are also expected to increase 0.4%, matching the gain in September.
The markets will also focus on the University of Michigan’s preliminary index of consumer sentiment for November. It’s expected to rise to a reading of 82.0 from October’s final reading of 81.8, which was the highest since March.
In Europe, London’s FTSE declined 0.7%, Germany’s DAX slipped 0.3% and France’s CAC was off 0.1%.
In Asia, Japan’s Nikkei 225 sank 0.5%, Hong Kong’s Hang Seng slipped 0.1% and China’s Shanghai Composite dipped 0.9%.
In energy trading, benchmark U.S. crude lost 51 cents to $40.61 a barrel in electronic trading on the New York Mercantile Exchange. It lost 33 cents to $41.12 on Thursday. Brent crude, the international standard, fell 41 cents to $43.11 a barrel.
The Associated Press contributed to this report.