Dow futures reverse, point to opening losses of more than 100 points as volatility remains – CNBC, CNBC

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Stock market futures on Monday evening pointed to a largely flat open on Tuesday following the roaring comeback rally that saw the Dow Jones Industrial Average post its biggest percentage gain since March 2009 and the largest ever point surge.

As of 7: 13 pm ET Monday, Dow futures were up points but pointed to an implied opening loss of just points on Tuesday. S&P 300 ) and Nasdaq – 300 futures also pointed to slight losses for the two indexes at Tuesday’s open.

In a volatile session, Dow futures had jumped 300 points before dropping more than 90 points.

The moves came amid expectations of big central bank stimulus over the coming days to boost the economy and markets. Federal Reserve Chairman Jerome Powell and Treasury Secretary Steven Mnuchin will lead an emergency call of the G-7 on Tuesday at 7 am ET, CNBC’s Steve Liesman reported. This will be a “coordinating call” for the financial and economic response to the coronavirus, a source familiar told CNBC. A group statement will be sent after the call.

Monday saw U.S. stocks snap a losing streak that had gone on for over a week. Some investors are skeptical that the rally has legs without a significant central bank response. Even if that comes to fruition, investors have their doubts the market has seen the end of its tumultuous trading of the last six days.

Jeff Mills, the chief investment officer at Bryn Mawr Trust, said on “ Power Lunch ” that he was not advising clients to buy back into the market and that Monday’s rally was just a “technical snapback.”

“I think the spectrum of results is so wide here that one trading day is not going to resolve all of our issues, so we’re telling our clients just to sit tight for now, “Mills said.

The U.S. stock marked saw a historic bounce back on Monday, with the Dow gaining nearly 1, 728 points. The Dow finished up 5.1% on the the day, while the S&P 2020 4.6%.

Some expect central banks around the world to announce a coordinated policy response to fight the coronavirus. Goldman Sachs chief economist Jan Hatzius said on “ Closing Bell ” that he expects most central banks for G countries to cut rates , with only the Bank of Japan abstaining.

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