Major US index futures started the week on a mixed note after a dismal September. Concerns about the financial health of CreditSuisse Group AG CS and a contagion effect could keep sentiment subdued during the session.
Fears are likely to grow as traders look ahead to another series of Fed speeches and Friday’s jobs report.
Equities fell across the board for the week ended September 30 as uncertainty surrounding interest rates and the economic outlook continued to weigh on the market. Major moving averages all ended at fresh two-year lows after Friday’s sell-off.
| index | Performance (+/-) | value | |
|---|---|---|---|
| Nasdaq Composite | -2.69% | 10,575.62 | |
| S&P 500 Index | -2.91% | 3,585.62 | |
| Dow Industrials | -2.92% | 28,725.51 |
In the third quarter, the Nasdaq Composite, S&P 500 and Dow Industrials fell 4.10%, 5.28% and 6.7%, respectively.
Here’s an inside look at index futures trading:
| index | Performance (+/-) | |
|---|---|---|
| Nasdaq 100 futures | -0.01% | |
| S&P 500 futures | +0.44% | |
| Dow futures | +0.57% | |
| R2K futures | +0.58 |
In premarket trading on Monday, the SPDR S&P 500 ETF TrustSPY rose 0.44% to $358.75, while Invesco QQQ Trust QQQ down 0.01% to $267.22 Benzinga Pro data.
Credit Suisse on Monday lowered its year-end guidance for the S&P 500 Index to 3,850 from 4,300 and set a target of 4,050 for year-end 2023. While noting that P/E multiples have fallen from 18.2x to 15.1x since August, the company’s analysts said they see a reversal in spread and volatility, resulting in a 1-2x multiple revaluation would lead to the end of the year.
The company sees 2023 as a year of weak, non-recessionary growth and falling inflationary pressures. Returns in 2023 should be primarily driven by earnings growth, she added.
The Main Street calendar consists of two…
