US pre-open: Futures lower ahead of earnings from Microsoft and Alphabet
Wall Street futures were in the red ahead of the bell on Tuesday ahead of earnings from Microsoft and Google owner Alphabet.
As of 1200 BST, Dow Jones futures were down 0.38%, while S&P 500 and Nasdaq-100 futures had the indices opening 0.28% and 0.02% weaker, respectively.
The Dow closed 417.06 points higher on Monday as market participants prepped for a week packed full of earnings from the nation's top tech firms.
Yesterday's rebound was seemingly driven by expectations that we may be close to a pause in the current pace of interest rate rises from the Federal Reserve.
However, CMC Markets' Michael Hewson seems to think that continued resilience in US treasury yields suggests that bond markets still have doubts about a pause and that the Fed will more than likely continue to push its luck until "something snaps".
"With Federal Reserve officials now officially in a quiet period in the lead-up to next week’s meeting, there is little prospect of any sort of pushback on this belief. Let’s hope that markets aren’t getting ahead of themselves and indulging in a spot of wishful thinking," said Hewson.
Both Alphabet and Microsoft will report after the close of trading on Tuesday, while Facebook parent Meta Platforms will publish its latest set of quarterly earnings of Wednesday, and Amazon and Apple will follow on Thursday.
Outside of tech stocks, UPS, General Electric, Coca-Cola and General Motors will release their latest earnings reports before the open, while Chipotle figures will come after the close.
On the macro front, August's house price index will be published at 1400 BST, while the Conference Board's October consumer confidence report and the Richmond Fed's manufacturing index will follow at 1500 BST.
Reporting by Iain Gilbert at Sharecast.com