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Dow Futures Tick Higher as Earnings Season Heats Up

Published 07/18/2022, 07:04 PM
© Reuters
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By Oliver Gray

Investing.com - U.S. stock futures were trading flat during Monday’s evening deals, following a negative close among major benchmark indices as numerous positive earnings announcements were overshadowed by ongoing concerns about high prices and the rising possibility of a U.S. recession.

By 07:00 PM ET (2300 GMT) Dow Jones Futures were 0.1% higher while S&P 500 Futures and Nasdaq 100 Futures added 0.2% apiece.

In extended deals, International Business Machines (NYSE:IBM) fell more than 4% after earnings, as the company lowered its forecast for cash flow. Q2 EPS came in at $2.31 versus $2.27 expected on revenues of $15.54 billion versus $15.09 billion expected.

Ahead in Tuesday’s session, market participants will be bracing for a deluge of corporate results as earnings season heats up. Johnson & Johnson (NYSE:JNJ) and Hasbro Inc (NASDAQ:HAS) are slated to release results before the bell Tuesday, while Netflix Inc (NASDAQ:NFLX) will report after the market closes. Later in the week, earnings results from Tesla Inc (NASDAQ:TSLA), Twitter Inc (NYSE:TWTR), Snap Inc (NYSE:SNAP), United Airlines Holdings Inc (NASDAQ:UAL), American Airlines Group (NASDAQ:AAL), and Verizon Communications Inc (NYSE:VZ) will also be closely monitored.

During Monday’s regular trade, the Dow Jones Industrial Average fell 215.6 points or 0.7% to 31,072.6, the S&P 500 lost 32.3 points or 0.8% to 3,830.8 and the NASDAQ Composite dipped 92.4 points or 0.8% to 11,360.1.

Among stocks, Goldman Sachs Group Inc (NYSE:GS) added 2.5% after reporting Q2 EPS of $7.73 versus $6.64 expected on revenue of $11.86 billion versus expectations of $10.85 billion.

Charles Schwab Corp (NYSE:SCHW) closed 1.5% lower despite reporting Q2 EPS of $0.97, beating expectations of $0.91, while revenue came in at $5.09 billion versus $5.04 billion expected.

Meantime, fresh data from the National Association of Home Builders showed that homebuilder sentiment plunged 12 points to 55, touching the lowest levels since the start of the pandemic.

On the bond markets, United States 10-Year rates were at 2.989%.

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