US Futures Mixed Ahead of Bank Earnings

US stock futures traded mixed on Tuesday as investors prepared for major bank earnings reports that could shape the direction of the third-quarter earnings season. S&P 500 and Nasdaq 100 futures slipped 0.1% and 0.2%, respectively, while Dow futures edged up 0.05%. JPMorgan, Goldman Sachs, Citigroup and Wells Fargo are set to release their latest quarterly results today. Other major companies due to report include Johnson & Johnson and UnitedHealth. Investors will also assess existing home sales data and remarks from Federal Reserve officials Christopher Waller, Tom Barkin and Susan Collins. These developments come ahead of Wednesday’s September inflation report, which could influence the Fed’s next policy decision. In Monday’s regular session, the S&P 500 and Nasdaq Composite fell 0.06% and 0.44%, respectively, pressured by a selloff in memory chip stocks. Meanwhile, the Dow gained 0.38%.

The S&P 500 closed little changed and the Nasdaq fell 0.4%, while the Dow gained 196 points on Monday. Tech led the declines, while energy, communication services and consumer staples outperformed. Investors are preparing for the earnings season while awaiting key US inflation data due later this week. Meanwhile, oil prices rose following deadly strikes on Riyadh’s airport over the weekend. Prices also drew support from renewed concerns over energy infrastructure after Ukrainian President Zelenskyy said Russia had continued targeting energy facilities, despite US President Trump’s highlighting fresh Russian diesel exports and a Russia-Ukraine ceasefire on energy targets. Micron tumbled 3.9% as investors assessed growing competition from China’s CXMT and Nvidia fell 1.3%. In contrast, Meta gained 3.4% following the release of a long-awaited AI model, while Salesforce advanced 2.1% after Bank of America upgraded the stock. Chevron also rose 1.4% amid higher oil prices.

US equities were mixed on Monday as strong earnings prospects offset pressure on corporate credit conditions from elevated bond yields. The S&P 500 was flat near its record high and the Dow gained 200 points, while the Nasdaq 100 fell 0.4%. Brokers across major economies signaled buy recommendations in a variety of sectors ahead of the September-quarter earnings season, indicating that companies have sustained strong earnings growth despite a backdrop of higher interest rates. Still, energy prices and bond yields remained higher as the war in the Middle East persists, threatening more hikes by the Federal Reserve this year. Most sectors were higher, with Meta and Salesforce adding 2% and 5%, respectively, in a strong session for software application companies. On the other hand, Micron, AMD, and Marvell fell around 3% each as AI infrastructure companies continued to trade in a volatile manner.