Robust Earnings Today – Europe Market Wrap
US stock futures fluctuated after a two-day advance as traders focused on signs that the Trump administration may add more tariff exemptions to ease the economic turmoil of the trade war.
S&P 500 futures were little changed. In Europe, stocks pushed higher after President Donald Trump floated a pause in auto tariffs. Boeing Co. sank 4% in premarket trading after China ordered airlines not to take any further deliveries of the company’s jets.
Tuesday’s market moves were milder than the big swings of late, reflecting hopes that there may be room for negotiations over Trump’s reciprocal levies. Investors were also watching the early stages of the earnings season, with Bank of America Corp. topping analysts’ estimates.
Meanwhile, 10-year Treasury yields were steady. A gauge of the dollar was little changed after a five-day losing streak. Still, there was plenty of evidence that investor nervousness about the trade war. A Bank of America survey showed that sentiment toward the economy is the most negative in three decades. Traders were also assessing news that the US is pressing forward with plans to impose tariffs on semiconductor and pharmaceutical imports by initiating trade probes led by the Commerce Department.
On the earnings front, Johnson & Johnson is holding its profit outlook steady despite the potential for tariffs. Bank of America shares rose in premarket after its stock traders posted a record quarter, as the company reaped the benefits of volatile markets.
