Here are the top stories to read ahead of Tuesday trading:
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Here are some of the companies presenting earnings on Tuesday:
Before the opening bell.
McDonald’s
Pfizer
PayPal
SoFi Technologies
Royal Caribbean
JetBlue Airways
Tenet Healthcare
Crocs
After the close.
Alphabet
Advanced Micro Devices
Visa
Chipotle Mexican Grill
Snap
Qorvo
Here are some of the potential market catalysts due Tuesday for traders to consider:
8:30 a.m. Eastern. U.S. trade balance in goods for September.
9:00 a.m. S&P Case-Shiller home price index (20 cities) for August.
10:00 a.m. U.S. Consumer confidence for October.
10:00 a.m. U.S. job openings (JOLTS) for September.
10:30 a.m. Atlanta Fed GDPNow assessment.
1:00 p.m. Treasury announces result of $44bn auction of 7-year notes.
How are stock-index futures trading:
S&P 500 futures are lower by 0.02%.
Dow Jones Industrial Average futures are down 0.05%.
Nasdaq 100 futures are up 0.09%.
On Monday, the Dow Jones Industrial Average rose 273 points, or 0.65%, to 42,388, the S&P 500 increased 15 points, or 0.27%, to 5,824, and the Nasdaq Composite gained 49 points, or 0.26%, to 18,567.
Futures indicate a muted open for Wall Street on Tuesday, as tension builds ahead of the U.S. election in a week’s time and investors eye earnings reports from some of the heavyweights in a technology sector responsible of a large chunk of the S&P 500’s gain of 22.1% this year.
Google-owner Alphabet will release results after Tuesday’s closing bell, while Microsoft and Meta report on Wednesday, followed the next day by Amazon.com and Apple.
“S&P 500 futures show a very choppy range since the first week of October, and this recent consolidation might make sense given that investors are anxiously awaiting tech earnings, with 5 of the 7 stocks representing the Magnificent 7 due to report this week, or roughly $12 trillion in market cap,” says Mark Newton, head of technical strategy at Fundstrat.
“This amounts to around 1/4 of the entire market cap of the S&P 500, so it might make sense that earnings results might deliver an upside or downside surprise that should prove meaningful,” Newton adds.
Meanwhile, bullish effervescence is being kept somewhat in check by the sight of 10-year Treasury yields moving back above the 4.3% level for the first time in three months.
The rally in yields comes amid concerns that a Donald Trump victory on November 5 may revive inflationary pressures via his proposed import tariffs and lead to more bond issuance as tax cuts widen the government’s deficit.
Upward pressure on yields has also come from signs the U.S. economy is in decent shape, and to that end investors will be keen to see updates on the labor market in coming days, starting with the jobs opening survey on Tuesday and culminating on Friday with the nonfarm payrolls report.
