U.S. stock index futures nudged higher early Tuesday, supported by upbeat corporate earnings and record index closes, even as investors remain cautious ahead of the Federal Reserve’s interest rate decision and a packed economic data calendar.
The S&P 500 and Nasdaq futures climbed 0.18% and 0.39%, respectively, while Dow futures were up a modest 0.05%. The S&P 500 notched its 15th record close of the year on Monday.
Solid earnings continue to underpin broader market sentiment. Boeing shares rose 2.3% premarket after the aerospace giant posted a narrower-than-expected quarterly loss and its highest airplane deliveries since 2018.
Procter & Gamble also gained following a strong full-year revenue forecast.
Meanwhile, more than 83% of the 170 S&P 500 companies that have reported so far have topped analysts’ expectations, per FactSet.
Yet not all results were well-received. UPS shares dropped 5% after missing earnings estimates and declining to issue forward guidance, citing economic uncertainty.
Whirlpool tumbled 17% following a miss on both top and bottom lines, a dividend cut, and lower full-year guidance due to tariff pressure.
Sarepta Therapeutics soared 38% after the FDA recommended removing a hold on its Elevidys therapy.
Cadence Design Systems climbed 8% after beating Q2 estimates and lifting its full-year outlook.
PayPal shares, however, slipped 4% despite topping earnings estimates, as its Q3 guidance came in below consensus.
Novo Nordisk shares plunged 20% after cutting its full-year outlook, citing softening demand for its obesity drug Wegovy in the U.S.
Meanwhile, Amkor Technology spiked 11% after strong earnings, and Corning added 6% after reporting a beat on both revenue and EPS.
Traders remain focused on the Federal Reserve’s rate decision due Wednesday. While the central bank is widely expected to hold rates steady, any commentary on inflation trends or future policy will be closely parsed. Key data releases include Wednesday’s GDP and private payrolls reports, followed by Friday’s July nonfarm payrolls. Economists expect job growth to slow to 100,000, with the unemployment rate ticking up to 4.2%.
With the S&P 500 and Nasdaq setting fresh highs, short-term momentum remains positive.
However, gains are likely to be restrained until the Fed delivers its decision and the bulk of “Magnificent Seven” tech earnings hit Wednesday and Thursday.
Traders should also monitor developments in U.S.-China trade talks as Friday’s tariff deadline approaches.
The direction of yields and payroll data could influence sentiment heading into August.
More Information in our Economic Calendar.
James Hyerczyk is a U.S. based seasoned technical analyst and educator with over 40 years of experience in market analysis and trading, specializing in chart patterns and price movement. He is the author of two books on technical analysis and has a background in both futures and stock markets.