Investors are keeping a close eye on the stock market as S&P 500 futures are on the rise Tuesday night following the latest financial releases from corporate America. With futures tied to the broad index up by 0.2% and Nasdaq 100 futures jumping 0.5%, there is a sense of optimism in the air.
One of the standout performers in after-hours trading is Tesla, which surged more than 11% after announcing a renewed focus on “more affordable” electric vehicle models. However, the tech giant fell short of expectations in its latest quarter, disappointing both investors and analysts.
On the other hand, Visa and Texas Instruments saw their stocks soar by more than 2% and 6%, respectively, thanks to stronger-than-expected reports. This positive trend is reflected in the overall earnings season, with the majority of S&P 500-listed firms exceeding Wall Street expectations.
Tuesday marked the second consecutive winning day for the S&P 500 and Nasdaq Composite, as they continued to bounce back from recent losses. The Dow Jones Industrial Average also closed the session higher, with gains of nearly 0.7%.
According to Jay Hatfield, CEO at Infrastructure Capital Advisors, the market tends to rally during earnings season after a period of weakness due to negative economic and political news flow. This earnings rally is seen as a positive sign for investors looking for stability in the market.
Looking ahead, investors will be closely monitoring earnings reports from companies such as Boeing, Hasbro, Meta Platforms, Ford, Chipotle, and IBM on Wednesday. Additionally, economic data on durable goods will be released in the morning, providing further insight into the state of the economy.
