US pre-open: Futures in the red ahead of more Q2 earnings
Wall Street futures were in the red ahead of the bell on Tuesday as market participants readied themselves for another busy day on the earnings front.
As of 1205 BST, Dow Jones futures were down 0.43%, while S&P 500 and Nasdaq-100 futures had the indices opening 0.35% and 0.45% lower, respectively.
The Dow closed 90.75 points higher on Monday, taking a bite out of losses recorded in the previous session.
Earnings will be the session's primary focus again on Tuesday, with General Electric, Kimberly-Clark, McDonald's, Raytheon Technologies, Coca-Cola, UPS, Shutterstock, and General Motors all reporting before the opening bell.
Alphabet, Microsoft, Chubb, and Chipotle will publish their latest quarterly numbers after the closing bell.
US retail giant Walmart issued its second profit warning since May overnight, with the group saying profits were set to fall as much as 13% in 2022 as the rising cost of food and fuel continues to impact customer spending.
AvaTrade's Naeem Aslam said: "US and European futures are trading lower as traders are reacting to the results announced by Walmart. The company warned once again that the threat of a recession is a real one as spending by consumers has dropped in their stores. Walmart cut its profit forecast due to rising food inflation and painted a highly gloomy picture for the US economy. This is despite the fact that President Biden doesn’t think that the US economy will face a recession.
"However, it is a different matter that the US has now changed the official definition of recession. In reality, the US is already in a recession."
On the macro front, May's house price index will be published at 1400 BST, while June new home sales numbers, consumer confidence data from the Conference Board, and the Richmond Fed's manufacturing index will all follow at 1500 BST.
Reporting by Iain Gilbert at Sharecast.com