U.S. Stock Futures Point to Tepid Tuesday Start as Democrats Vow to Fight Trump’s Emergency Declaration
U.S. stock futures headed for modest gains on Monday, as the President’s Day holiday kept trade volumes subdued ahead of what’s expected to be an active week in the market. Meanwhile, cryptocurrencies exploded to the upside as trade volumes reached new highs for the year.
Stock Futures See Modest Gains
The U.S. futures market traded slightly higher in the holiday-shortened session. The Dow Jones mini futures contract edged up 14 points to close at 25,902.00. The benchmark Dow Jones index surged 1.7% on Friday en route to fresh three-month highs.
S&P 500 mini futures ticked up 1.25 points to settle at 2,778.25. The Nasdaq 100 mini contract rose 17 points to 7,080.75.
The New York Stock Exchange was closed on Monday for President’s Day. Regular trading hours are set to resume on Tuesday.
Further reading: Does this Chart Spell Doom for the S&P 500 Index?
Trump vs Democrats (Again)
As CCN reported earlier today, Democrats have vowed to fight President Trump’s emergency declaration to fund a new steel barrier on the southern border with Mexico. Trump exercised his executive powers on Friday shortly after signing $333 billion in new funding agreements that avoided a second costly government shutdown.
The new budget includes $1.38 billion in additional border funding, which is far less than the $5.7 billion Trump requested. By declaring a state of emergency, the president can divert funds from other programs to construct his new steel barrier.
According to The Wall Street Journal, the state of California has already announced plans to sue the Trump administration over the declaration. Xavier Becerra, the state’s Attorney General, told CNBC this weekend that he “definitely and imminently” planned to pursue legal action.
Crypto Bulls Ignite New Rally
Crypto markets put on a show Monday, as the asset class rallied more than $12 billion in the span of a few hours. The combined value of all cryptocurrencies peaked at $133.2 billion, according to CoinMarketCap. That’s the highest level in over five weeks.
The rally was sustained by an incredible surge in trade volume. Turnover spiked more than 66% to $33.4 billion, far exceeding the the volume surge that accompanied the mid-November selloff.
The top 40 cryptocurrencies all reported gains. Bitcoin, the largest of the digital assets, rose 8.4% to $3,932.72. Ethereum climbed 14.4% to $146.89. XRP climbed to $0.3232, having gained 7.6%.
EOS was the standout performer, as the price rocketed 23.5% to $3.48. The cryptocurrency is trading at its highest level since November.
Litecoin maintained its bullish posture, as the price surged 12% to $48.48. Bitcoin cash rallied 19.1% to reach $145.44.
For more on the Monday crypto rally, read: Cue the Crypto Recovery: Coins Surge $9 Billion Overnight as Ethereum, EOS Break Out.
Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock.