Stock futures mixed as big gains day begins

US stock futures slipped Tuesday morning ahead of corporate earnings from some of the market’s biggest players.

Futures linked to the S&P 500 (^GSPC) declined 0.2% while futures on the Dow Jones Industrial Average (^DJI) ticked down 0.3%. The tech-heavy Nasdaq Composite (^IXIC) fell 0.07%.

Stocks rose on Monday for the major indices, coming as more companies report third-quarter earnings this week.

Coca-Cola (KO) released earnings before the bell on Tuesday. The Atlanta-based company raised its full-year outlook as quarterly earnings and sales beat expectations.

General Motors (GM) shares rose in premarket trading after the automaker beat earnings expectations but fell short of earnings. General Electric (GE) earnings fell last quarter as the company plans to cut costs at its renewable energy business.

Microsoft (MSFT), Alphabet (GOOGL), Visa (V) and Chipotle (CMG) will announce their earnings after the bell. Other major megacap technology companies such as Meta Platforms (FB), Apple (AAPL) and Amazon (AMZN) will report later this week.

“Well, if we take a big step back, let’s look at a combined market value of 7 trillion this week for companies that are among the big tech companies this week,” Erika Klauer, portfolio manager for tech stocks at Jennison Associates told Yahoo Finance Live Monday before the big tech earnings.

According to FactSet, about a fifth of companies in the S&P 500 reported third-quarter results as of Friday last week, and 72% of reported earnings beat Wall Street expectations.

“For many tech investors old enough to remember a time before everyone had cellphones, the environment still feels like the post-dot-com bubble,” wrote Ron Adler, who is… JPMorgan’s trading desk works on clients. “Profits for Q3 are important and will be more idiosyncratic, but confidence for FY23 remains low while management teams have no incentive to lead with aggressiveness or precision.”

NEW YORK, NEW YORK - OCTOBER 18: Traders work on the floor of the New York Stock Exchange during morning trading on October 18, 2022 in New York City.  The stock market opened on a rebound, with the Dow Jones gaining over 600 points, the S&P 500 up 2.20% and the Nasdaq Composite up 2.6% to add to gains that began Monday.  (Photo by Michael M. Santiago/Getty Images)

Traders work on the floor of the New York Stock Exchange during morning trading on October 18, 2022 in New York City. (Photo by Michael M. Santiago/Getty Images)

In commodity markets, Brent crude, the international oil benchmark, fell 1.55% to $83.27 a barrel on Tuesday morning. The US 10-year Treasury yield fell slightly to 4.1% from 4.2% on Monday, the highest close since 2008.

Elsewhere, 10-year UK government bond yields fell slightly after Rishi Sunak was formally appointed as the next UK Prime Minister.

Overseas, Hong Kong and mainland China stocks ended the day flat after trading back and forth between losses and gains. On Monday, US-listed Chinese stocks fell to their lowest level in almost a decade, a day after President Xi Jinping won a third term in control of the ruling Communist Party.

“The China we are looking at, led by Xi Jinping, is more focused on security. It’s more focused on restructuring the economy so the party is less vulnerable to reckless real estate sector credit expansion and runaway shadow financing,” Leland Miller, co-founder and CEO of China Beige Book, told Yahoo Finance Live on Monday.

Dani Romero is a reporter for Yahoo Finance. Follow her on Twitter @daniromerotv

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