Traders work on the floor of the New York Stock Exchange during afternoon trading on Feb. 5, 2024.
Michael M. Santiago | Getty Images
U.S. stock futures were little changed on Monday night after the S&P 500 snapped a six-day losing streak, buoyed by a rebound in tech stocks. Wall Street also looked ahead to key earnings and economic data later this week.
Dow Jones Industrial Average futures rose by 18 points, or 0.05%. S&P 500 futures gained 0.02%, while Nasdaq 100 futures slid 0.06%.
Investors are coming off a winning session on Monday. The 30-stock Dow closed 0.67% higher. The S&P 500 advanced 0.87%, while the Nasdaq Composite climbed 1.11%. Both the S&P 500 and Nasdaq ended a six-day losing run.
Those moves come as investors bought the dip in tech stocks after a recent sell-off in key names such as Nvidia, which had been dinged recently amid fears of higher inflation and the prospect of elevated interest rates. Information technology was the best-performing S&P 500 sector on Monday. Nvidia jumped more than 4% during the trading session. The chip giant pulled back by nearly 14% last week, its worst weekly performance since September 2022.
“A short-term bounce in the market makes a lot of sense here in that, you know, we had a rough week and a half plus, and so now we’re seeing a little bit of a rebound as we go into tech,” Wealth Enhancement Group’s senior portfolio manager Ayako Yoshioka told CNBC’s “Closing Bell” on Monday.
Traders are also bracing for the release of mega-cap earnings results this week. First up will be Tesla reporting after the close on Tuesday. The electric vehicle stock has underperformed this year — down more than 40% — amid fears of greater competition from Chinese competitors. Meta Platforms is slated to post results on Wednesday afternoon, followed by Alphabet and Microsoft on Thursday.
“I think those earnings from Microsoft and Alphabet and Meta are going to be really important to determine whether or not that tech trade can continue to take the market higher,” Yoshioka added.
On the economic front, investors will watch for the release of new home sales data on Tuesday.
Stocks making the biggest moves after hours
Check out the companies making headlines in after-hours trading.
- Nucor — Shares slid 6.3% after the steelmaker’s first-quarter results fell short of estimates and it issued a lackluster second-quarter outlook. First-quarter earnings of $3.46 per share fell below the FactSet consensus estimate of $3.67 in earnings per share. Revenue of $8.14 billion was weaker than the estimated $8.26 billion. Nucor expects lower second-quarter earnings, citing “decreased earnings of the steel mills segment, primarily due to lower average selling prices partially offset by modestly increased volumes.”
- Cleveland-Cliffs — The steel producer lost nearly 3%. Cleveland-Cliffs’ first-quarter results fell short of analysts’ expectations, with adjusted earnings of 18 cents per share on revenue of $5.2 billion. Analysts surveyed by LSEG estimated earnings of 22 cents per share and revenue of $5.35 billion.
- Cadence Design Systems — Shares dropped 8.9% after the software company issued poor second-quarter guidance. Cadence Design Systems forecast second-quarter earnings per share of $1.20 to $1.24, lower than the $1.43 per share expected by analysts polled by FactSet. Revenue guidance between $1.03 billion and $1.05 billion also missed a FactSet consensus estimate of $1.11 billion.
— Sarah Min
March new home sales data set to release Tuesday
New home sales is anticipated to have risen by 1.2% in March, according to economists polled by Dow Jones. That would be a jump from a 0.3% decline in the prior month.
The data is set to release 10 a.m. ET on Tuesday.
— Sarah Min
