📷 Image Credits: Investing.com
In the aftermath of an attempted assassination attempt on presidential candidate Donald Trump during a campaign rally, U.S. stock index futures steadied in evening deals on Sunday. The market grappled with speculation over whether the attack on Trump improved his chances of victory, leading to uncertainty in the U.S. political landscape. The attack took place in Butler, Pennsylvania, where the assailant shot at Trump multiple times, hitting him in the ear. Initial responses suggested that the attack might enhance Trump’s chances of winning the 2024 presidential race.
The market was also awaiting a wave of key corporate earnings as the second quarter earnings season commenced. S&P 500 Futures rose slightly to 5,688.0 points, while Nasdaq 100 Futures edged higher to 20,534.0 points by 19:12 ET. The Dow Jones Futures also rose to 40,347.0 points.
At the upcoming 2024 Republican convention in Milwaukee, Trump is expected to be officially nominated as the party’s frontrunner for the presidential race. However, the political uncertainty following the attack is predicted to weigh on risk-driven assets, showing a cautious approach from investors.
The recent rise in Wall Street indexes to record highs was powered by the prospect of lower interest rates, despite slightly stronger than expected inflation data. The Dow Jones Industrial Average achieved a record high at 40,000.90 points on Friday, surpassing its peers and showcasing the market’s interest in economically sensitive stocks with expectations of rate cuts.
The second quarter earnings season is set to intensify this week with major companies like Goldman Sachs, BlackRock, Bank of America, Morgan Stanley, ASML Holding NV, and Netflix scheduled to report.
Traders are closely monitoring the Federal Reserve’s stance on rate cuts, with expectations of a 25 basis points cut in September. Meanwhile, global political events, such as China’s economic data release and the European Central Bank meeting, are adding to the market’s uncertainty and volatility.
In the commodity markets, gold held steady at $2,408 an ounce, near its recent peak, while oil prices slightly rose amid progress on a ceasefire between Israel and Hamas. Brent crude gained 28 cents to $85.31 a barrel, and U.S. crude rose 31 cents to $82.52 per barrel, indicating a cautious optimism in the energy sector.
