S&P 500 Futures struggles to defy risk aversion amid mixed catalysts
- S&P 500 Futures snaps two-day winning streak, but with little gains so far.
- US Senate passes a $484 billion stimulus package, 20 states ready to reopen.
- Coronavirus cure championed by US President Trump fails, more than 45,000 have died in the US due to the pandemic.
Despite flashing 0.1 0% gains to 2,740, S&P 500 Futures struggles to defy the previous two-day downside during the early Asian session on Wednesday.
While the slump in oil prices can be cited as the main catalyst for the recently downbeat performances of the risk markets, including the US equities, mixed news from the US could have recently helped the stock index to portray the risk reset.
Among the main catalysts, the passage of the $484 billion coronavirus (COVID-19) relief package for small businesses, hospitals and further tests, as well as positive news for the US economic restart shared by President Donald Trump, could be considered as the frontline positives.
On the other hand, President Trump’s readiness to sign the executive letter, on Wednesday, to ban immigration into the US for 60 days as well as Reuters piece suggesting failures of a drug promoted by the US President Trump to combat the pandemic could grab the spotlight.
Also populating the news flows were mostly upbeat comments from the US Treasury Secretary Steve Mnuchin as well as COVID-19 taskforce member Deborah Leah Brix, not to forget the Reuters tally of the US pandemic data.
Amid a light economic calendar in Asia, traders will keep eyes on the virus updates, as well as oil price performance, for short-term direction.