Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., October 23, 2024.
Brendan McDermid | Reuters
Futures linked to the S&P 500 rose Thursday as the benchmark looks to rebound following three straight losing sessions. Strong earnings from Tesla and others led the gains.
S&P 500 futures added 0.5%, while Nasdaq 100 futures gained 0.9%. Dow futures slid 51 points, or 0.1%.
Tesla surged 10% in the premarket after the electric vehicle manufacturer posted third-quarter results that beat analyst expectations. Whirlpool and Lam Research were also higher on the back of better-than-expected earnings by 3.5% and 5.9%, respectively.
Weighing on Dow futures was IBM, which fell more than 2% as consulting revenue narrowly missed analysts’ estimates. Boeing also weighed on the 30-stock index, as the company’s shares slipped more than 3.5% after its machinists rejected a new labor contract.
More than 27% of the S&P 500 has reported third-quarter numbers thus far. Of those companies, 76% have beaten analyst expectations, according to FactSet.
Stocks are coming off a losing session, with the Dow suffering its biggest one-day loss since early December, losing more than 400 points on Wednesday. The S&P 500 shed nearly 1%, and the Nasdaq lost 1.6%.
Treasury yields moved lower early Thursday, helping lift market sentiment after rising yields kept stocks under pressure this week. The 10-year Treasury yield topped the 4.25% threshold on Wednesday at the high of the session.
Paul Hickey, the co-founder of Bespoke Investment Group, said that he wouldn’t read too much into the recent sell-off in stocks. He cautioned that the market might experience a slight pullback after November’s U.S. presidential election, but that it would find its footing after the matter.
“You just have to put it in the perspective of what we’ve seen over the last six weeks. Part of this rally has been driven by the fact that earnings results — to start with, the big banks — were very strong, and their stock price reactions were also positive,” he said on CNBC’s “Closing Bell: Overtime” on Wednesday afternoon. “It’s a rough day, but these days happen.”
