U.S. stock futures rebounded Friday, a day after the worst market drop since March which came on fears of a resurgence in coronavirus cases.
Futures for Dow Jones Industrials galloped 514 points, or 2%, early Friday, to 25,538.
Futures for the S&P 500 jumped 53 points, or 1.8%, to 3,052.50.
Futures for the NASDAQ Composite Index leaped 149.25 points, or 1.6%, to 9,752.75.
The Dow, S&P 500 and NASDAQ on Thursday all recorded their biggest one-day losses since mid-March, posting losses of at least 5%.
Thursday’s declines put the major averages on pace for their biggest weekly losses since March 20, when they all dropped at least 12% amid broad economic shutdowns stemming from the pandemic.
Investors on Friday went right back into the plays whose fates hinge on a successful reopening of the economy. Carnival Corp jumped 10% in pre-market trading. United Airlines climbed 8%. Other pre-market winners included brick-and-mortar retailers Kohl’s and Gap. Those stocks were hit big time during Thursday’s selloff as investors feared the reopening of the economy could be delayed by a second wave of cases.
Thursday’s losses came after data compiled by Johns Hopkins University showed the number of new coronavirus cases has risen in states like Arizona, South Carolina and Texas as they continue their reopening process. Arizona cases have nearly doubled since Memorial Day.
Overall, more than two million coronavirus cases have been confirmed in the U.S. along with over 100,000 deaths.
American, Delta and United ended Thursday’s session down more than 20% each for the week while Southwest has lost 14%. Banks such as JPMorgan Chase, Citigroup, Wells Fargo and Bank of America — which have surged amid expectations of improving economic activity — are all down over 12% for the week.
Consumer sentiment data along with the latest U.S. import and export numbers are scheduled for release Friday morning.
Overseas, in Tokyo, the Nikkei 225 moved downward 0.8%, Friday, while in Hong Kong, the Hang Sang index slid 0.7%.
Oil prices added 24 cents at $36.58 U.S. a barrel.
Gold prices picked up $4.30 to $1,744.10.