The trader is working on the floor of the New York Stock Exchange (NYSE) in New York on January 12, 2022.
Brendan MacDermid | Reuters
US stock futures fell early Tuesday as traders prepared for the latest batch of corporate earnings reports.
Futures related to the Dow Jones Industrial Average fell 80 points, or 0.22%. S & P 500 futures fell 0.48% and Nasdaq 100 futures fell 0.94%. The US market closed on Monday due to Martin Luther King’s holiday.
Quarterly reports of 35 companies will be posted in the shortened trading week. S & P 500, include Bank of America, UnitedHealth When Netflix.. Goldman Sachs It is also set to post the latest quarterly numbers before the bell on Tuesday.
Major banks Wells Fargo, JPMorgan Chase When Citigroup The earnings season began on Friday, and the three companies were more profitable than expected. However, the market reaction to these results was mixed. Wells Fargo’s share price recorded a rise against the backdrop of these results, but JP Morgan Chase and Citigroup fell.
Overall, 26 S & P 500 companies have reported fourth-quarter earnings on the calendar so far, according to Refinitiv. Nearly 77% of these companies have announced final results that exceed analysts’ expectations.
“The economic background up to the fourth quarter was strong and signaled profit and earnings growth,” UBS Global Wealth Management CIO Mark Hefere said in a memo last week. “The guidance from the companies also seems to indicate the continued strength of demand in 2022, even if Omicron is currently disrupting some businesses.”
The proliferation of the omicron Covid-19 variant has cast doubt on the recovery of the global economy since the news of its discovery was reported. In some countries and regions, blockades and other social distance measures have been revived to curb outbreaks.
but, Recent data show that spreads may be easing.. Data compiled by Johns Hopkins University show that New York has seen a seven-day average decrease in new cases each day since it broke records earlier this month. In Maryland, daily infections are reduced by 27% weekly. Cases are also decreasing in South Africa and the United Kingdom.
The move on Monday is because stocks are struggling to start in 2022.
The Dow, S & P 500 and Nasdaq Composites have all fallen this year amid concerns about the recent surge in inflation and the prospect of a tightening of monetary policy due to the Federal Reserve.
Philadelphia Federated Bank Governor Patrick Harker told CNBC last week that the central bank could raise rates three to four times this year. He said inflation was “Tenacious than I thought a while ago.. “
Tech, the largest S & P 500 sector by market capitalization, was hit hard this year, dropping more than 4%. Big Tech names such as Meta Platforms, Amazon, Netflix, Alphabet, and Apple are all down year by year.
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US Equity Futures Fall Prior to More Earnings Report
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