U.S. stock futures wobbled Monday, suggesting that the major indexes will pause after notching records at the end of last week.
Futures tied to the S&P 500 ticked down 0.1%. Contracts linked to the Dow Jones Industrial Average slipped 0.2% and Nasdaq-100 futures wavered between gains and losses.
Investors are starting the week on a cautious note on concern that the rollout of Covid-19 vaccines is facing some hiccups. A string of blue-chip companies are scheduled to report earnings this week, and will offer a view on businesses’ expectations for the pace of economic revival. Money managers are looking to gauge whether stocks’ high valuations are justified after the recent rally took the Dow and S&P 500 to closing records last week.
“After a big move, you get a pause of breath and a bit of a reassessment,” said Caroline Simmons, U.K. chief investment officer at UBS Asset Management. “People are reassessing, waiting for newsflow that might indicate that growth and inflation remain on track.”
U.S. health authorities decided to recommend pausing the use of the Johnson & Johnson vaccine due to concerns about improper treatment of blood clots, The Wall Street Journal reported over the weekend. Health officials are now looking at limiting the J&J vaccine to older people, among options, and could make public a decision as early as this week.