Stock futures rose after the S&P 500, and the Dow closed at its lowest level since 2020

Stock futures rose on Tuesday morning after the market began the week to extend its dramatic decline in September.

S&P 500 futures rose 0.68% and Nasdaq 100 futures rose 0.74%. Those tied to the Dow Jones Industrial Average advanced 182 points, or about 0.62%.

The movement in futures comes next Five consecutive days of losses for shareswith the S&P 500 closing Monday at its lowest level in 2022. The Dow fell more than 300 points on Monday, putting it in a bear market after dropping more than 20% from its record high.

Technical indicators show that selling was historical. According to the Bespoke Investment Group, the S&P 500’s 10-day advanced decline line has reached a record low, which means market breadth is at its worst level in at least 32 years.

The latest round of selling appears to have had several catalysts, including the strength of the Federal Reserve and higher interest rates, which in turn turbulent currency markets. Monday , British pound fell to a record low Against the dollar, worrying investors on both sides of the Atlantic.

“Normally, US investors wouldn’t care much about something like this, especially as of late. And so this tells me that there is now this fear gripping investors much more than it used to be. And that in turn will lead to what’s going on,” said Max Gochmann, CIO. In AlphaTrAI, “To a moment of surrender where we are really at the bottom”.

On Tuesday, investors will get several new economic data, including consumer confidence for September, durable goods orders for August and house prices for July. Concern is growing on Wall Street that a six-month inflation battle by the Federal Reserve will push the economy into recession.