Traders on the floor of the New York Stock Exchange were buzzing with anticipation on Aug. 4, 2022, as stock futures pointed to a higher open. Investors were carefully evaluating the aftermath of the recent assassination attempt on former President Donald Trump, while also gearing up for a busy week of key corporate earnings reports.
Futures on the Dow Jones Industrial Average were up 204 points, or 0.51%, with S&P 500 futures and Nasdaq 100 futures also showing gains of 0.43% and 0.5%, respectively. Traders were closely monitoring the impact of the attempted assassination on Trump, with some speculating that it could lead to further gains in the polls for Trump and Republicans ahead of the November election.
“The good news is that former President Trump was not injured more than the ear, that he was not killed and as a result I think the market will continue on its momentum ways,” said Sam Stovall, chief investment strategist at CFRA Research.
The upcoming Republican National Convention in Milwaukee, Wisconsin, where Trump is leading President Joe Biden in national polls, added to the excitement on the trading floor. Shares of insurers Humana and UnitedHealth Group saw gains in premarket trading, as investors anticipated less cost pressures under a potential Republican administration.
Investor attention was also focused on second-quarter earnings reports, which could potentially drive the market to new record highs. The Dow Jones recently hit a fresh all-time high above 40,000, with a 6.1% gain in 2024, while the S&P 500 surged 18% to a new record, fueled by technology giants. More than 40 S&P 500 companies were set to report earnings during the week.
Goldman Sachs was scheduled to report numbers before the bell on Monday, followed by Morgan Stanley and Bank of America on Tuesday. Johnson & Johnson, United Airlines, and Netflix were also among the companies releasing earnings reports.
Overall, the market was coming off a solid week, with easing inflation data fueling rate-cut bets. The S&P 500 gained 0.9% last week, the Nasdaq Composite rose 0.3%, and the Dow outperformed with a 1.6% gain. With a mix of positive earnings reports and political developments, traders were bracing for a potentially volatile but exciting week ahead on Wall Street.
