US open Wall Street set for a mixed start amid rising covid concerns
Covid cases ae on the rise, raising concerns over slowing growth. Tech stocks are set to extend gains whilst the Dow & S&P500 head lower.
Share this:
US futures
Dow futures -0.4% at 34472
S&P futures -0.14% at 4360
Nasdaq futures +0.31% at 14863
In Europe
FTSE -0.5% at 7081
Dax +0.07% at 15686
Euro Stoxx -0.03% at 4065
Mixed start to a busy week
US indices are pointing to a mixed start on the open, after all three main Wall Street indices finished at all time highs on Friday.
Concerns grow over rising covid cases, as new daily infections in the US hit the highest level since May over the weekend, unnerving investors.
Covid concerns will add to nerves that peak growth has passed as recent US economic data has under-performed.
Whilst the Dow and the S&P futures are in the red, the high growth tech stock extends its rally as investors continue to rotate back into growth.
Whilst today is a quiet day for data and earnings there is plenty across the week to keep the markets busy. US CPI and PPI data on Tuesday and Wednesday, in addition to Fed chair Jerome Powell testifying before congress on Wednesday and Thursday, will keep inflation and the Fed’s next steps firmly in focus.
Tomorrow earning season is due to kick off with the Goldman Sachs, JP Morgan and PepsiCo updating he market.
Where next for the Dow Jones?
The Dow Jones hit a high of 34906 but failed to hold that level, slipping back below the level 34850 which had offered resistance on several occasions across the past month. The RSI is in bullish terrirory but points lower, giving mixed messages. Whilst the 50 sma on the 4 hour chart holds at 34600 buyers can be hopeful of another attack on 34850 and on towards 35000. A break through the 50 sma at 34600 could open the door to 34420 the ascending trendline support from ealy October and the 100 sma at 34350. Below here the sellers could gain momentum.
FX – USD rallies, EUR falls on dovish ECB Lagarde
The US Dollar is climbing higher at the start of the week, after steep losses at the end of last week. Safe haven flows into the US Dollar amid rising covid cases are lifting the greenback. Attention is also shifting back to inflation and the Fed’s next steps with CPI data, PPI data and Jerome Powell testifying before Congress coming up this week.
EUR/USD trades lower after ECB President Christine Lagarde Sid That forward guidance will be changed at the July 22 meeting. Lagarde hinted that the bond buying scheme could be extended beyond March 2022 albeit in a new format.
GBP/USD +0.24% at 1.3820
EUR/USD +0.1% at 1.1856
Oil falls on covid worries
Oil prices are slipping lower as concerns over slowing global growth overshadowed the prospect of tightening supply after OPEC+ talks to raise output failed earlier in the month.
The rapid spread of covid cases and unequal access to covid vaccines threaten to slow global economic recovery. According to Reuters, covid infections are rising in 69 countries. Parts of Asia are back under lockdown conditions.
This comes after OPEC+ group abandoned talks at the stat of the month amid infighting and failure to agree unanimously to raise output in order to satisfy the demand outlook
US crude trades -1.4% at $72.98
Brent trades -1.3% at $74.24
Learn more about trading oil here.
The complete guide to trading oil markets
Looking ahead
14:30 Fed Williams due to speak
How to trade with FOREX.com
Follow these easy steps to start trading with FOREX.com today:
- Open a Forex.com account, or log-in if you’re already a customer.
- Search for the market you want to trade in our award-winning platform.
- Choose your position and size, and your stop and limit levels.
- Place the trade.
US futures
Dow futures -0.4% at 34472
S&P futures -0.14% at 4360
Nasdaq futures +0.31% at 14863
In Europe
FTSE -0.5% at 7081
Dax +0.07% at 15686
Euro Stoxx -0.03% at 4065
Learn more about trading indices
Mixed start to a busy week
US indices are pointing to a mixed start on the open, after all three main Wall Street indices finished at all time highs on Friday.
Concerns grow over rising covid cases, as new daily infections in the US hit the highest level since May over the weekend, unnerving investors.
Covid concerns will add to nerves that peak growth has passed as recent US economic data has under-performed.
Whilst the Dow and the S&P futures are in the red, the high growth tech stock extends its rally as investors continue to rotate back into growth.
Whilst today is a quiet day for data and earnings there is plenty across the week to keep the markets busy. US CPI and PPI data on Tuesday and Wednesday, in addition to Fed chair Jerome Powell testifying before congress on Wednesday and Thursday, will keep inflation and the Fed’s next steps firmly in focus.
Tomorrow earning season is due to kick off with the Goldman Sachs, JP Morgan and PepsiCo updating he market.
Where next for the Dow Jones?
The Dow Jones hit a high of 34906 but failed to hold that level, slipping back below the level 34850 which had offered resistance on several occasions across the past month. The RSI is in bullish terrirory but points lower, giving mixed messages. Whilst the 50 sma on the 4 hour chart holds at 34600 buyers can be hopeful of another attack on 34850 and on towards 35000. A break through the 50 sma at 34600 could open the door to 34420 the ascending trendline support from ealy October and the 100 sma at 34350. Below here the sellers could gain momentum.
FX – USD rallies, EUR falls on dovish ECB Lagarde
The US Dollar is climbing higher at the start of the week, after steep losses at the end of last week. Safe haven flows into the US Dollar amid rising covid cases are lifting the greenback. Attention is also shifting back to inflation and the Fed’s next steps with CPI data, PPI data and Jerome Powell testifying before Congress coming up this week.
EUR/USD trades lower after ECB President Christine Lagarde Sid That forward guidance will be changed at the July 22 meeting. Lagarde hinted that the bond buying scheme could be extended beyond March 2022 albeit in a new format.
GBP/USD +0.24% at 1.3820
EUR/USD +0.1% at 1.1856
Oil falls on covid worries
Oil prices are slipping lower as concerns over slowing global growth overshadowed the prospect of tightening supply after OPEC+ talks to raise output failed earlier in the month.
The rapid spread of covid cases and unequal access to covid vaccines threaten to slow global economic recovery. According to Reuters, covid infections are rising in 69 countries. Parts of Asia are back under lockdown conditions.
This comes after OPEC+ group abandoned talks at the stat of the month amid infighting and failure to agree unanimously to raise output in order to satisfy the demand outlook
US crude trades -1.4% at $72.98
Brent trades -1.3% at $74.24
Learn more about trading oil here.
The complete guide to trading oil markets
Looking ahead
14:30 Fed Williams due to speak
How to trade with City Index
Follow these easy steps to start trading with City Index today:
- Open a City Index account, or log-in if you’re already a customer.
- Search for the market you want to trade in our award-winning platform.
- Choose your position and size, and your stop and limit levels
- Place the trade.
Latest market news
The complete CFD trading experience
Award-winning platforms, competitive spreads, low commissions and dedicated support.
We live and breathe the markets and are dedicated to helping traders realise their ambitions as we continue to set the industry bar.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
S&P 500, Nasdaq, Dow Forecast: Wall Street Split Widens Into Month-End 9 26 2026
Nasdaq strength contrasts with mounting Dow pressure as rising Treasury yields raise the stakes for stocks heading into the monthly close.
EUR/USD weekly outlook: Oil, inflation and NFP in focus
After coming under significant pressure in recent weeks, the EUR/USD came off its lows to finish the week on a positive note on Friday, albeit with only a mild rebound. That was not enough to prevent the exchange rate falling for the third consecutive week, as the US dollar and bond yields rallied across the board.
EUR/USD Q4 2026 Outlook: Euro at a Crossroads as Fed, ECB Tighten 9 25 2026
EUR/USD enters Q4 at a pivotal inflection point as competing Fed-ECB policy paths and persistent inflation risks collide with major technical support.
StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.
StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.