Stock futures mixed after Dow and S&P 500 crossed worst month since March 2020

Stock futures were mixed in overnight trading Sunday after Wall Street ended another negative quarter and the S&P 500 and Dow Jones Industrial Average both ended. They finished their worst month since March 2020.

Nasdaq 100 futures are down 0.43% while futures linked to the S&P 500 are marginally lower. Dow Jones Industrial Average futures rose 0.2%.

Friday capped a negative month and quarter for all major averages, with the Dow down 500.10 points, or 1.71%, to close below 29,000 for the first time since November 2020.

For the quarter, the Dow plunged 6.66% to post a streak of consecutive losses over three quarters for the first time since the third quarter of 2015. The Standard & Poor’s and Nasdaq Composite both fell 5.28% and 4.11%, respectively, to end their third consecutive negative quarter. For the first time since 2009.

The Dow Jones fell 8.8% in September, while the S&P 500 and Nasdaq Composite lost 9.3% and 10.5%, respectively. All major averages also posted their sixth negative week in seven.

As the new quarter approaches, all S&P 500 sectors are at least 10% off their 52-week highs. Nine sectors ended the quarter in negative territory. Consumer Estimate was the best performer, up 4.1%.

In the fourth quarter, high inflation and the Fed intent on stopping price increases, said Keith Lerner of Trust, no matter what that means for the economy, it will likely continue to affect markets. He added that oversold conditions make the market vulnerable to a sharp short-term rebound as a result of the good news.

“I think we could be set up for some kind of delay, but the underlying trend at this point is still a downtrend and choppy water to continue,” Lerner said.

On the economic front, Markit and ISM manufacturing PMI data are due on Monday along with construction spending.