MARKET SNAPSHOT: Dow Futures Slip With Traders On Presidents Day Break

By Victor Reklaitis, MarketWatch

Analyst: 'Last week's turnaround marked a positive inflection point'

U.S. stock futures were trading lower on Monday, reversing Friday's mostly upbeat action, though analysts warned against reading too much into the moves, given traders are off for Presidents Day.

American stock markets and the bond market are closed for the holiday, and there are no economic releases expected, as federal agencies are shuttered.

Check out:Which markets are closed on Presidents Day? (http://www.marketwatch.com/story/which-markets-are-closed-on-presidents-day-2018-02-14)

What are the main benchmarks doing?

Dow Jones Industrial Average futures shed 133 points, or 0.5%, to 25,103, while S&P 500 futures gave up 12.50 points, or 0.5%, to 2,722.50. Nasdaq-100 futures fell by 19.75 points, or 0.3%, to 6,767.

Last week, the Dow and S&P 500 both gained 4.3% (http://www.marketwatch.com/story/dow-ready-to-hold-above-25000-as-us-stocks-line-up-best-week-more-than-a-year-2018-02-16), while the Nasdaq Composite jumped by 5.3%, as each equity gauge snapped a two-week losing streak.

The Dow and S&P 500 on Friday logged their sixth straight advance, with each gauge ending less than 0.1% higher, while the Nasdaq finished down 0.2% for the session.

The three benchmarks are up between 2% and 4.9% for the year, helped by factors such as growth in corporate profits and an expanding U.S. economy, though they're holding below their January all-time highs.

What are strategists saying?

"Equity markets started off the week on a lackluster note, and the absence of important news flows encouraged dealers to exit the equity markets," said David Madden, a CMC Markets UK analyst, in a note.

"Whenever a major player like the U.S. is on holidays, the thin volumes can lead to exacerbated moves, which are unlikely to be a true reflection of the market," Madden added.

"By our analysis, the S&P 500's uptrend is intact," said Ari Wald, an Oppenheimer & Co. technical analyst, in a note. "Last week's turnaround marked a positive inflection point similar to November 2016 and August 2017."

Read:The stock market's new 'wall of worry' is built on inflation and rate fears (http://www.marketwatch.com/story/the-stock-markets-new-wall-of-worry-is-built-on-inflation-and-rate-fears-2018-02-17)

What are other assets doing?

European stocks (http://www.marketwatch.com/story/european-stocks-tilt-lower-after-strong-week-as-traders-search-for-cues-2018-02-19)were lower, while Asian markets mostly gained (http://www.marketwatch.com/story/asian-markets-continue-to-push-higher-its-kind-of-a-relief-rally-2018-02-18), though several bourses in that region remained shuttered for the Lunar New Year holiday.

See:Why the stock market may not play dead in the Year of the Dog (http://www.marketwatch.com/story/why-the-bull-market-may-not-play-dead-in-the-year-of-the-dog-2018-02-15)

Gold futures (http://www.marketwatch.com/story/gold-futures-dip-as-dollar-steadies-2018-02-19)pulled back, as oil futures (http://www.marketwatch.com/story/crude-futures-rise-as-supply-fears-wait-in-the-wings-2018-02-19)and the ICE U.S. Dollar Index (http://www.marketwatch.com/story/dollar-steadies-versus-rivals-in-holiday-thinned-trade-2018-02-19)gained.

(END) Dow Jones Newswires

February 19, 2018 11:09 ET (16:09 GMT)

Copyright (c) 2018 Dow Jones & Company, Inc.