(Businesshala) – US stock index futures rose higher on Tuesday as positive earnings forecasts from Walmart raised optimism over consumer spending ahead of key retail sales data later in the day.
Walmart shares rose 1.9% in premarket trading after the nation’s largest brick-and-mortar retailer raised its annual sales and profit forecast, banking on rising demand expected during the crucial holiday season.
Retailer Home Depot Inc. ranked higher after beating quarterly same-store sales estimates, helped by strong demand for tools and materials from builders and handymen working on housing projects.
Wall Street indexes ended largely flat on Monday, as inflation concerns raised Treasury yields and weighed down major technology firms.
With the term of current Chairman Jerome Powell expiring in February 2022, investors are also fretting over the choice of President Joe Biden for the chair of the Federal Reserve.
Rising inflation and the prospect of slowing economic growth have seen the Wall Street index trading mixed over the past few days. Analysts at major Wall Street banks have also been somewhat weak on the S&P 500’s prospects in 2022.
However, a survey by Bank of America showed that investors were willing to end 2021 in a riskier mood.
Markets were now awaiting retail sales data for October, due at 8:30 a.m. ET (1330 GMT), along with the potential impact of rising inflation on consumer spending, as well as industrial production data, due at 9:15 a.m. ET ( 1415) to estimate the potential impact. GMT).
At 7:07 a.m. ET, the Dow E-minis were up 71 points, or 0.2%. The S&P 500 e-minis were up 3.75 points, or 0.08%, and the Nasdaq 100 e-minis were up 8.25 points, or 0.05%.
Chinese stocks listed in the US and other China-exposed sectors rose on optimism over talks between President Biden and Chinese leader Xi Jinping.
Electric car maker Tesla Inc slipped 0.4% when CEO Elon Musk sold $930 million in shares to meet tax withholding obligations related to the exercise of stock options.
The stock is down nearly 13% after Musk was surveyed by Twitter users about selling his 10% stake. Most users voted in favor of the sale. JPMorgan Chase & Co. also sued Tesla for $162.2 million for breach of contract related to stock warrants.