Dow futures steady; bank earnings, retail sales in focus
Investing.com — U.S. stock futures traded largely unchanged Tuesday, pausing for breath after more gains during the prior session ahead of a deluge of fresh corporate earnings.
By 06:30 ET (10:30 GMT), the Dow Futures contract was up 2 points or 0.1%, while S&P 500 Futures traded 3 points or 0.1%, lower and Nasdaq 100 Futures dropped 25 points or 0.1%.
The benchmark indices on Wall Street closed higher Monday, continuing the previous week’s positive tone as expectations rise that the Federal Reserve can engineer a soft landing for the U.S. economy, controlling inflation without causing the economy to fall into recession.
The blue-chip Dow Jones Industrial Average gained 76 points or 0.2%, to notch its highest close of the year. The broad-based S&P 500 rose 0.4% and the tech-heavy Nasdaq Composite jumped 0.9%.
Goldman Sachs (NYSE:GS) has revised down the odds of a U.S. recession happening in the next 12 months, cutting the probability down to 20% from 25%, according to a report released Monday.
“The main reason for our cut is that the recent data have reinforced our confidence that bringing inflation down to an acceptable level will not require a recession,” Goldman said.
There is more economic data to study Tuesday after a stronger-than-anticipated reading from the Federal Reserve Bank of New York's manufacturing index on Monday hinted at resilient business activity.
The U.S. retail sales reading for June is expected to have improved from the prior month, while industrial production growth is also expected to accelerate in June.
However, most attention Tuesday will be on corporate earnings, with results from banking giants Bank of America (NYSE:BAC) and Morgan Stanley (NYSE:MS) likely to be studied for clues about
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