(Reuters) – U.S. stock index futures were little changed on Tuesday as investors prepared for a bevy of corporate results, most notably from Alphabet to gauge the strength of the technology sector.
The Google parent’s shares gained 0.6% in premarket trading ahead of its results due after market close, where it is expected to post its slowest revenue growth in four quarters.
Other megacap stocks were mixed, with Microsoft rising 0.3%, while Tesla lost 0.5% and Nvidia dipped 0.7%.
Meanwhile, Ford slumped 6% after the automaker said it expects to hit the lower end of its annual profit guidance after the bell on Monday.
Dow E-minis were up 7 points or 0.02%, S&P 500 E-minis were up 1.25 points or 0.02%, and Nasdaq 100 E-minis were up 10.75 points or 0.05% by 5:25 a.m. ET.
The indexes had closed higher in the previous session, helped by anticipation for the megacap earnings, with easing geopolitical worries aiding sentiment.
This week marks the busiest period for S&P 500 earnings, with primary focus on the five of the “Magnificent Seven” group of stocks reporting their quarterly results.
The group’s results will be crucial to determining whether Wall Street can sustain the optimism around technology and artificial intelligence that has lifted indexes to record highs this year.
Additionally, investors await results from companies such as Pfizer, McDonald’s and D.R. Horton before the bell.
The September JOLTS job openings and October consumer confidence data, due at 10.a.m. ET, are also on the docket.
The JOLTS data will be scrutinized for signals on the strength of the labor market ahead of Friday’s nonfarm payrolls report, as investors increasingly bet that the Federal Reserve will not cut rates as much as initially thought given the economy’s robust performance.
Changes in Fed expectations and have also lifted Treasury yields. The benchmark U.S. 10-year Treasury yield breached the 4.3% level for the first time since early July – adding another headwind for equities.
With earnings, geopolitical tensions in the Middle East, the upcoming U.S. elections and a Fed meeting, investors are anticipating a volatile few weeks. The VIX has risen to 19.86 from below 15 in September.
Shares of Trump Media & Technology Group jumped 12%, after surging to their highest since June on Monday as the White House race enters its final stretch.
Vans parent VF Corp leapt 22% after the company reported a profit for the first time in two quarters on Monday.
(Reporting by Lisa Mattackal in Bengaluru; Editing by Varun H K)
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