US open: Stocks open higher after Monday's selloff

US stocks openned higher on Tuesday following a selloff the day before on the back of weakness in the technology sector and worries about a trade war.

At 1500 BST, the Dow Jones Industrial Average was up 0.66%, while the S&P 500 and Nasdaq gained 0.66% and 0.90%, respectively.

All three indices ended in the red on Monday as China hit back at President Trump's tariffs by imposing its own levies of up to 25% on 128 US imports including pork and wine. China said the tariffs, which affect around $3bn of imports, were introduced to "safeguard the interests of the country and its industry" and balance the losses caused by the US tariffs.

The Dow closed down 1.9%, while the S&P fell 2.2%, but the Nasdaq suffered the heaviest losses as Amazon slumped after Trump accused the company of not paying its fair share of taxes and exploiting the US postal service.

"Only fools, or worse, are saying that our money losing Post Office makes money with Amazon," he tweeted, adding that "this will be changed".

Other 'FANG' stocks also declined, with Facebook down nearly 3%, Netflix off 5% and Google parent Alphabet 2.4% lower.

The S&P 500 index ended the day more than 10% from the record high set in January. entering 'correction' territory for the second time this year.

"For the first time since June 2016 the S&P 500 index also closed below its 200-day moving average. While it is a bearish technical signal, it is also worth pointing out that the trendline support from the 2016 low was penetrated as well," said Rabobank.

There are no major data points scheduled for release on Tuesday but Minneapolis Fed President Neel Kashkari was due to take part in a moderated discussion at the Regional Economic Indicators Forum in Minnesota later in the day.

Elsewhere, Fed Governor Lael Brainard was set to make a speech at New York University at 2130 BST.

In corporate news, 21st Century Fox was down 0.55% after offering up more concessions in its bid for Sky, proposing either to ringfence Sky News or sell it to rival Walt Disney.

Shares in retailer Walmart were up 1.26% following a CNBC report that it's in discussions about buying online pharmacy start-up PillPack.

Amazon reclaimed 2.16% after the comments made by Donald Trump.

Elsewhere, Spotify was expected to debut at between $160 to $165 per share on the New York Stock Exchange, well above the indicative price of $131.

Fiona Cincotta, senior market analyst at City Index, said: "The company chose a direct listing rather than a traditional initial public offering which means rather than trying to raise money by going public it will make it possible for existing shareholders to sell their shares on the market.

"This could make for a highly volatile first day of trading because there is no bank to support the stock if it starts falling. Nevertheless a number of analysts have already initiated coverage of the stock with a buy rating expecting that the listing, the first major tech stock listing after Snap Inc.’s nearly a year ago, will attract a lot of investors."