Stock futures slipped Thursday, signaling declines for major indexes as investors awaited earnings from several major companies and fresh data on the U.S. labor market.
Futures on the S&P 500 edged down 0.3%. Contracts for the technology-heavy Nasdaq-100 fell 0.4%, after a volatile day for tech stocks on Wednesday.
Stocks have taken a breather in recent sessions after powering higher for much of 2021. Some investors have been caught off guard by a quick rise in government-bond yields, which appeared to knock technology stocks that have benefited from years of low interest rates. Money managers are also concerned about lofty valuations.
Still, many investors remain upbeat about the outlook for stocks. They point to the probable arrival of more fiscal stimulus as a factor that will drive economic growth and earnings higher in 2021, alongside the reopening of sectors that have been hit hard by the pandemic.
“Of course you have some losers,” said Bastien Drut, chief thematic macro strategist at CPR Asset Management. “Some sectors will benefit more than the tech sector from what is happening in terms of the stimulus and what we see in terms of rising yields.”