Nasdaq futures exhibited a mixed performance on Tuesday, coinciding with a significant day for corporate earnings reports, following the gains recorded by the Nasdaq Composite and S&P 500 at the start of the week. Futures for the Nasdaq 100 and S&P 500 indicated declines of 0.5% and 0.1%, respectively, whereas futures for the Dow Jones Industrial Average showed an increase of 0.2%. Yesterday, the tech-focused Nasdaq Composite experienced a notable increase, while the benchmark S&P 500 also saw gains, as investors capitalised on a dip in technology stocks. Last week, the Nasdaq experienced a cessation of its four-week winning streak, declining by 4.5% over the five sessions. Concurrently, the S&P 500 finished 2% lower, marking its fourth negative outcome in the past six weeks. The blue-chip Dow concluded the day with a decline of 0.1%, following a second consecutive week of gains.
Stocks associated with AI experienced a decline following their gains on Monday. Roundhill’s Memory ETF pointed down about 3.5% after a 4% increase yesterday, with components SK Hynix, Western Digital, Sandisk, Micron Technology, and Seagate Technology experiencing declines of up to 5%. The broader iShares Semiconductor ETF was down 1.5% in premarket trading after closing up nearly 2%, with components Intel and Marvell Technology each declining by approximately 2%. The Roundhill Magnificent Seven ETF, which tracks the Magnificent Seven mega-cap tech stocks, exhibited minimal movement prior to the market opening following a gain of over 1.5% on Monday.
Shares of Amazon, which led the septet with a 5% gain yesterday after Morgan Stanley analysts called the stock a “Top Pick” and lifted their price target, edged higher before the bell. Several prominent corporations are disclosing their earnings today. Notable names issuing results before the bell include GE Aerospace, General Motors, 3M, and defence contractors RTX and Northrop Grumman. SpaceX and Netflix are set to do so after markets close. Oil prices surged as hostilities in the Middle East continued unabated. U.S. benchmark West Texas Intermediate crude futures surged 5.2% to exceed $109 a barrel in recent trading, whereas Brent crude futures, the international benchmark, increased by 1.5% to $111.20, marking their highest level since mid-May.
Including today, WTI futures have experienced an uninterrupted ascent for nine consecutive sessions, reflecting a 25% increase since surpassing the $88 mark on October 7. The 10-year Treasury yield stood at approximately 5.13%, reflecting a decline of one basis point from the previous day’s close. The yield briefly reached 5.33% last Wednesday following the release of stronger-than-expected Consumer Price Index data. The price of bitcoin stood at approximately $81,500, reflecting a modest decline over the preceding 24 hours. The U.S. dollar index, which monitors the value of the greenback relative to a selection of foreign currencies, experienced a decline of 0.1%, settling at 101.85. Gold futures experienced a decline of 0.6%, settling at $4,135 per ounce.
