U.S. stock futures mostly gained on Monday after the Dow Jones Industrial Average closed its third positive week in a row at a record. Notably, the rise was due to better-than-anticipated earnings reports.
Dow futures advanced 25 points, whereas S&P 500 futures were gained around 0.2%.
Futures for Nasdaq 100 were trading up by 0.3% ahead of big earnings reports for major firms in the industry.
Notably, Wall Street is coming off a winning week on the back of solid corporate earnings. The blue-chip Dow increased more than 1% last week and closed Friday at a record. Meanwhile, the S&P 500 advanced 1.7% last week, registering its third straight positive week and touching an all-time peak Friday.
According to Refinitiv, of the 117 companies in the S&P 500 that have reported earnings to date, 84% posted numbers that surpassed expectations. S&P 500 companies should raise profit by around 35% in the third quarter.
Some of the largest technology companies are slated to report earnings this week, including Facebook, Alphabet, Microsoft, Amazon, and Apple. A third of the Dow firms also is set to publish quarterly results this week, including Caterpillar, Coca-Cola, Boeing, and McDonald’s.
Major averages have all posted solid gains for October. The Dow Jones Industrial Average and the S&P 500 are up more than 5%, whereas the Nasdaq Composite has gained 4.4% month to date.
Pfizer and BioNTech COVID-19 vaccine showed 90.7% effectiveness in children aged 5-11
According to Tesla’s website, the company raised prices on certain versions of its Model X and Model S cars. Additionally, car rental giant Hertz has reportedly ordered 100,000 Tesla vehicles for its fleet. Tesla shares increased 4.3% in the premarket.
Pinterest shares declined 13.2% in premarket trading after PayPal announced it was not pursuing an acquisition of the social media firm at this time. Its statement came in response to reports that it was pursuing an acquisition of Pinterest for $45 billion. PayPal shares gained 6.1%.
Facebook’s stock dropped 5% Friday, breaking a four-session win streak. Its shares fell another 1.5% in the premarket.
Remarkably, the COVID-19 vaccine made by Pfizer and BioNTech showed 90.7% effectiveness in children aged 5-11. Health officials say a rollout of the vaccine for minors could come in early November.
The 10-year U.S. Treasury yield increased. The dollar surged after Fed Chairman Jerome Powell flagged that inflation could remain higher for longer. It fueled investor worries that sticky-price rises may force policymakers to increase borrowing costs.