Dow Jones Industrial Average futures climbed Tuesday, as the 30-stock benchmark looked to snap a six-day losing streak with attention turning to the latest batch of corporate earnings. Dow futures added 232 points, or 0.6%. S&P 500 futures and Nasdaq 100 futures rose by 0.2% and 0.1%, respectively. UnitedHealth shares rallied more than 7% in the premarket on the back of better-than-expected revenue for the first quarter. Johnson & Johnson, another Dow member, posted mixed quarterly results, sending shares down nearly 1%. Morgan Stanley jumped almost 4% before the bell after beating analyst consensus forecasts on both lines. Bank of America also topped expectations for the quarter, pushing shares higher by more than 1.5%. America’s largest companies have given Wall Street reason for optimism in the early innings of the new corporate earnings season. Of the less than 10% of S&P 500-listed firms that have reported financials, nearly four of of every five have exceeded Wall Street consensus estimates, according to FactSet. Wall Street is coming off a choppy day that marked the Dow’s sixth straight losing session — its longest negative streak since June. The blue-chip index erased most of its 2024 gains, a major reversal considering that just weeks ago it approached the key 40,000 level. The S&P 500 and Nasdaq Composite each closed Monday down more than 1%. Those losses follow a rise in yields, with the 10-year Treasury’s topping 4.6%, its highest level going back to November. Elsewhere, investors were concerned of escalating tensions in the Middle East after Iran’s launch of missiles and drones at Israel on Saturday. The CBOE Volatility Index, commonly referred to as the fear gauge, closed at its highest point since October. Still, some market observers urged investors to remain calm and stay the course, saying a resilient economy and strong labor market could continue to be supportive of equities. “We’re not going to see a sustained downturn in the U.S. equity market until we have an earnings problem, which we do not have right now, and the labor market cracks, which is not happening right now,” Lauren Goodwin, chief market strategist at New York Life Investments, told CNBC’s “Closing Bell” on Monday. “I anticipate that the jitters that we’re seeing are a result of, ‘Yes, valuations are high. There’s a lot of uncertainty.’ That’s been true for months.” The key 10-year U.S. Treasury yield ticked higher on Tuesday as investors considered the latest economic data and comments from Federal Reserve policymakers. The yield on the 10-year Treasury rose more 2 basis point to 4.653%, trading at levels last seen in mid-November of 2023. The 2-year Treasury yield was last trading at 4.944% after rising by less than one basis point. Asia-Pacific markets sold off as the world awaits Israel’s response to Iran’s air assault over the weekend. Most major markets in Asia lost about 2%. On Tuesday, China’s economy grew 5.3% in the first quarter compared with a year ago, faster than the 4.6% growth expected by economists polled by Reuters. South Korea’s Kospi led losses in the region, plunging 2.28% to 2,609.63, with the small-cap Kosdaq also down 2.3% and closing at 832.81. Japan’s Nikkei 225 tumbled 1.94% to its lowest level in almost two months, while the broad based Topix fell 2.04% to end at 2,697.11, its lowest level in month. Overnight the yen crossed 154 against the U.S. dollar, its weakest level since June 1990. In Australia, the S&P/ASX 200 declined 1.81% to 7,612.5, marking its fourth straight day of losses and also hitting a two-month low. Hong Kong’s Hang Seng index slid 2.12%, while the CSI 300 was 1.07% lower and closed at 3,511.11 after the GDP announcement. Crude oil futures fell for a second day Tuesday as the U.S. expects a limited response from Israel to an unprecedented air assault by Iran, reducing fears that the Middle East is on the verge of a broader regional war. The West Texas Intermediate contract for May delivery lost 31 cents, or 0.36%, to $85.10 a barrel. The June Brent futures contract fell 26 cents, or 0.29%, to $89.84 a barrel. Gold prices fell on Tuesday, under pressure from high U.S. Treasury yields and as investors locked in profits from a rally that drove the precious metal to a record peak last week. Spot gold was down 0.4% to $2,372.27 per ounce by 1109 GMT. The metal rose 1.7% on Monday and touched an all-time high of $2,431.29 on Friday.
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