Stock futures are little changed on Tuesday night as traders look to the end of a losing year and brace for 2023.
Futures linked to the Dow Jones Industrial Average added 11 points and traded almost flat. The S&P 500 and Nasdaq 100 futures were also both almost flat.
Tuesday heralded the start of a holiday-shortened trading week. The Dow rose 37.63 points, or 0.11%, to close at 33,241.56. The S&P 500 fell 0.40%.
The Nasdaq Composite slipped nearly 1.4% on the back of an 11% drop in Tesla stock after the Wall Street Journal reported that the electric vehicle maker would continue a week-long pause in production at a Shanghai plant. Tuesday marked the seventh straight day of losses for the stock.
It comes at the end of a turbulent year for the electric vehicle maker, when owner Elon Musk completed a messy purchase of Twitter. Tesla’s stock value has fallen 69% this year.
“A year ago, Musk was a hero and there was panic buying to the upside,” Eric Jackson, founder of EMJ Capital, told Closing Bell: Overtime. “Right now… it’s a panic sale.”
With three trading days left in 2022, the stock market is on track for its worst year since 2008. The Nasdaq has been the worst-performing index of the three indexes, down 33.8% this year as investors rotated out of growth stocks amid rising recession fears. The Dow and S&P 500 are on track to lose 8.5% and 19.7%, respectively.
Investors will be looking for insight into the state of the economy in Richmond Federal Reserve manufacturing data and pending home sales next Wednesday morning. Market participants will be looking for numbers that can signal that the economy is slowing, which they hope could signal the Fed that rate hikes may be slowing further.
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