U.S. stock futures fell Monday, suggesting the major stock indexes will slide lower from record highs, as investors booked profits while weighing new political and economic uncertainties.
Futures tied to the S&P 500 declined 0.7%, indicating the benchmark index may fall from the all-time high it closed at on Friday. Contracts tied to the Nasdaq-100 edged 0.6% lower and those linked to the Dow Jones Industrial Average fell 0.8%.
Stocks have rallied in recent days on bets that a Democrat-controlled Congress will increase government spending, bolstering the economic recovery.
Market sentiment is dimming at the start of the new week as investors confront a number of risks. On the political front, House Speaker Nancy Pelosi (D., Calif) said the House may move to impeach President Trump as soon as this week. That is prompting concern that fresh rancor in Washington may diminish support for other important measures.
Recent economic data also showed that the U.S. labor-market recovery stalled in December, ending seven months of job growth and adding to concerns that the short-term outlook is getting worse. Covid-19 infection rates also remain elevated. Experts have warned this month of surges in new cases, hospitalizations and deaths after December’s holiday gatherings and travel.
Read More: U.S. Stock Futures Slide on New Risks