By Peter Nurse
Investing.com — U.S. stocks are seen opening higher Tuesday, rebounding after the previous session’s losses as a busy week of corporate earnings continues.
At 07:00 AM ET (1100 GMT), the contract was up 205 points, or 0.7%, traded 32 points, or 0.9% higher, and climbed 105 points, or 0.9%.
The main indices on Wall Street closed lower Monday, with the blue-chip dropping over 200 points, or 0.7%, following a report that Apple (NASDAQ: ) was going to slow hiring, becoming the latest tech giant to put the brakes on as the economic outlook grows murkier.
Theis widely expected to raise rates later this month, although expectations that last week’s red-hot data will push the policymakers to agree to a 1% hike have gradually lessened.
A number of major U.S. banks have already reported results, and although they generally have been solid, the country’s largest, JPMorgan (NYSE: ), suspended share buybacks citing growing risks of a recession.
The earnings deluge continues Tuesday, with pharmaceutical big hitter Johnson & Johnson (NYSE: ) cutting its full-year adjusted profit forecast for the second straight quarter, while toymaker Hasbro (NASDAQ: ) reported a 10% rise in quarterly adjusted earnings, helped by demand for its “Magic: The Gathering” trading card game. Streaming giant Netflix (NASDAQ: ) is due to report results after the market close.
Also in the spotlight will be IBM (NYSE: ), after the original tech giant lowered its forecasts for free cash flow this year due to the impact of a strong and the loss of business in Russia, sending its stock 5% lower premarket.
The economic data slate centers around the housing market, with for June expected to rise to 1.58 million, up slightly from the 1.55 million prior reading. This has been a very hot segment of the markets until recently, and rising interest rates could weigh heavily going forward.
Oil prices retreated Tuesday, handing back some of the previous session’s sharp gains as a handful of COVID-19 infections forced the northern Chinese port city of Tianjin to lock down a number of venues, the latest big city to fight the virus.
Nomura analysts said in a note on Monday that an estimated 264.1 million people in 41 cities in China, the world’s largest importer of crude, are affected by full or partial lockdowns or other control measures, up from 247.5 million in 31 cities last week.
Investors now await U.S. crude supply data from the , due later in the day.
By 07:00 AM ET, futures traded 1.7% lower at $97.72 a barrel, while the contract fell 1.6% to $104.65. Both contracts rose over 5% on Monday.
Additionally, fell 0.3% to $1,714.60/oz, while traded 1.1% higher at 1.0254.