Traders on the trading floor of the New York Stock Exchange on August 4, 2022.
Source: New York Stock Exchange
Stock index futures edged higher on Tuesday as investors awaited key corporate earnings reports and the start of the Federal Reserve policy meeting.
Futures on Dow Jones Industrial Average Up 52 points, or 0.1%. S&P 500 Index Futures up 0.1% Nasdaq 100 Futures.
mass strike Delta Air Lines shares fell more than 4% after CNBC reported it hired lawyer David Boies seek damages CrowdStrike and Microsoft responded to a service outage this month that resulted in the cancellation of thousands of flights.
Quarterly results come from Merck, Pfizer, Paypal, Procter and JetBlue Airways Pre-market moves on Tuesday could determine intraday market sentiment. Investors will also pay close attention to the Microsoft, Advanced Micro Devices and Starbucks After the closing bell.
More than 40% of S&P 500 companies have reported results so far, with 79% reporting profits that beat Wall Street expectations, according to London Stock Exchange Group (LSEG) data. By comparison, the five-year average earnings beat rate is 77%.
“Both 2024 and 2025 consensus EPS are unchanged, with 2024 tracking the typical non-recession annual revision trend,” said Savita Subramanian, head of U.S. equity and quantitative strategy at Bank of America. “This shows where analysts are forecasting their estimates.” Relatively satisfied. “The company’s
Reviews are also relatively positive.
The Federal Reserve’s two-day policy meeting is set to begin on Tuesday, with central bank President Jerome Powell likely to hint at the timing and number of rate cuts expected in the coming months. The Fed had previously expected only one rate cut in the remainder of 2024, and traders had priced in a 100% chance of a rate cut in September. CME Group FedWatch Tool.
“Lower inflation trends support a rate cut by the Fed,” said Seema Shah, chief global strategist at Principal Asset Management. “Coupled with a still strong economic outlook and strong corporate earnings, this should boost risk assets, And lead to returns that scale beyond mere technology.”
On Tuesday, traders will focus on June job openings data. Economists polled by Dow Jones expected 8.1 million job openings, unchanged from May. Consumer confidence index for July will also be released.
