4:05pm: US equities close mixed session
US stocks closed mixed as concerns over a resurgence of COVID-19 weighed on global markets.
Stocks took a hit after Austria announced early in the day that it would re-enter a full national lockdown due to a spike in cases. That followed new restrictions for unvaccinated people in Germany.
On the day, the Dow Jones Industrial Average fell by 262 points, or 0.71%, to 35,615 and the S&P 500 declined 0.12% to 4,698.
But the tech-heavy Nasdaq increased 0.40% to 16,057.
1.10pm: Stocks waver as coronavirus fears weigh
US stocks were mixed in afternoon trade as investors piled into the safety of the dollar and government bonds after fresh coronavirus restrictions in Europe clouded prospects for the global economic recovery.
Oil prices fell, hammered by concerns about the effect of renewed lockdowns on energy demand. Brent crude, the global oil benchmark, declined 2.8% and traded at $78.98, heading for its fourth-consecutive weekly decline.
The Dow slid 245.18 points, or 0.7%, while the S&P 500 rose 0.4%, and the Nasdaq Composite index added 66 points, or 0.4%, bolstered by rallying technology shares.
“Austria’s lockdown decision has revived the spectre of weaker economic growth, and as a result global stocks are generally lower on the final day of the week. It is the Dow and the Russell 2000 that are taking the big hit,” said Chris Beauchamp, Chief Market Analyst at IG, a global online trading platform.
“Tech stocks are, unsurprisingly, rallying hard as investors go back to their 2020 habits of buying stocks designed to benefit from people being stuck at home. US small caps were a big winner from last November into the early part of this year, as value stocks and those tied to the more physical side of the economy came back into favour,” he added.
10.05am: Proactive North America headlines:
Cloud DX (TSX-V:CDX, OTCQB:CDXFF) has officially launched its Maternal Health Track program on e-commerce site babydoppler.com
CleanSpark buys more bitcoin mining machines; says spot market pricing is favorable
PsyBio Therapeutics announces expansion of its intellectual property portfolio by filing six additional patent applications
Fireweed Zinc promotes Cindy Chiang to role of chief financial officer
Sigma Lithium says it’s on track to begin commercial production at its Grota do Cirilo project in Brazil in 2022
CytoDyn says its research paper on leronlimab accepted by leading journal Frontiers in Immunology,
Todos Medical pauses enrollment for Tollovir Phase 2 clinical trial of coronavirus patients to study interim analysis data
Silvercorp Metals publishes its annual sustainability report for fiscal 2021
Algernon Pharmaceuticals plans to file clinical trial authorisation application for DMT stroke trial as soon as possible after positive feedback from UK regulator
MedX says its teledermatology screening platform to be distributed by Al Zahrawi in the United Arab Emirates
9.45am: Wall Street mixed at open
US stocks started mixed on Friday, as had been expected, as traders continued to fret about the rise of coronavirus (COVID-19) cases and global economic growth.
The Dow Jones Industrial Average plunged around 201 points at 35,669. The broader-based S&P 500 fell around seven points at 4,697.
The tech-laden Nasdaq exchange, however, went up over 33 points to stand at 16,027.
The opening in New York of the regular session comes as Austria announced earlier on Friday that it was going into a full national lockdown - its fourth so far- as cases of the virus surge there.
On Thursday, the country recorded 15,145 new cases, setting a new record daily high.
It becomes the first country in Western Europe to impose a lock-down this fall.
The Dow Jones is now down 0.6% on the week and on track for its second consecutive negative week. The S&P 500 and the tech-heavy Nasdaq Composite are headed for slight gains though, up 0.5% and 0.8% on the week, respectively.
6.45am: US stocks poised to start mixed
US stocks look set for a mixed start on Friday as worries over rising coronavirus (COVID-10) cases and the reimposition of restrictions in Europe saps investor confidence.
Futures for the Dow Jones Industrial Average futures fell 0.4%, while those for the S&P 500 shed 0.2% after the broader market index closed up 0.3% Thursday at an all-time high. However, futures for the tech-laden Nasdaq-100 added 0.3%.
COVID-19 cases are rising in the US and Europe, according to data from Johns Hopkins University. In the face of the increases, Austria has announced a nationwide lockdown starting Monday, with restaurants and retail sectors to close, while areas of Germany are also going into a partial lockdown next week.
Stocks have been choppy this week affected by concerns about inflation and likely future interest rate hikes, partly offset by strong earnings reports and retail sales data that showed consumers were still spending.
Among companies on the earnings slate Friday, retailer Foot Locker will release numbers ahead of the opening bell. Meanwhile, Intuit climbed in after-hours trading on Thursday after the financial software firm raised its full-year guidance.
In the absence of any economic data, investors are going to be paying close attention to today’s potential announcement from US President Joe Biden on his nomination for head of the Federal Reserve to possibly replace Jerome Powell.
Walid Koudmani, XTB Market analyst commented: "The Fed has played a key role in supporting the markets during the post-pandemic recovery with its extensive quantitative easing program and record low interest rates, but today’s decision may cause some nervousness as replacing the chairman of the US central bank could add to the unpredictability the markets are facing nowadays.
"While President Biden may wait till after market close to make his announcement, in an attempt to not shake up markets before the weekend, the fact remains that such a significant change at high levels of leadership could have far reaching implications for monetary and fiscal policy moving forward."