Dow futures tick higher after UnitedHealth results as benchmark tries ...
Dow Jones Industrial Average futures climbed Tuesday, as the 30-stock benchmark looked to snap a six-day losing streak with attention turning to the latest batch of corporate earnings.
Dow futures added 206 points, or 0.5%. S&P 500 futures and Nasdaq 100 futures were each up by around 0.1%.
UnitedHealth shares rallied more than 7% in the premarket on the back of better-than-expected revenue for the first quarter. Johnson & Johnson, another Dow member, posted mixed quarterly results, sending shares down slightly.
Morgan Stanley jumped around 3% before the bell after beating analyst consensus forecasts on both lines. Despite also surpassing expectations on both lines, Bank of America traded near its flatline.
America's largest companies have given Wall Street reason for optimism in the early innings of the new corporate earnings season. Of the less than 10% of S&P 500-listed firms that have reported financials, nearly four of of every five have exceeded Wall Street consensus estimates, according to FactSet.
Traders will also watch for the latest reading of housing starts and building permits on Tuesday to gain insight into the health of the housing sector. Industrial production data is also set for release before the open.
Wall Street is coming off a choppy day that marked the 30-stock Dow's sixth straight losing session — its longest negative streak since June. The blue-chip index erased most of its 2024 gains, a major reversal considering that just weeks ago it approached the key 40,000 level. The S&P 500 and Nasdaq Composite each closed Monday down more than 1%.
Those losses follow a rise in yields that had investors shrugging off strong earnings from Goldman Sachs, as well as hot retail sales data. The 10-year Treasury yield topped 4.6%, its highest level going back to November.
Elsewhere, investors were concerned of escalating tensions in the Middle East after Iran's launch of missiles and drones at Israel on Saturday. The CBOE Volatility Index, commonly referred to as the fear gauge, closed at its highest point since October.
Still, some market observers urged investors to remain calm and stay the course, saying a resilient economy and strong labor market could continue to be supportive of equities.
"We're not going to see a sustained downturn in the U.S. equity market until we have an earnings problem, which we do not have right now, and the labor market cracks, which is not happening right now," Lauren Goodwin, chief market strategist at New York Life Investments, told CNBC's "Closing Bell" on Monday. "I anticipate that the jitters that we're seeing are a result of, 'Yes, valuations are high. There's a lot of uncertainty.' That's been true for months."