Futures linked to the S&P 500 rose Thursday as the benchmark looks to rebound following three straight losing sessions. Strong earnings from Tesla and others led the gains.
S&P 500 futures added 0.4%, while Nasdaq 100 futures gained 0.7%. Dow futures slid 24 points, or 0.1%.
Tesla surged 10% after the electric vehicle manufacturer posted third-quarter results that beat analyst expectations. Whirlpool and Lam Research were also higher on the back of better-than-expected earnings by 3.5% and 5.9%, respectively.
Weighing on Dow futures was International Business Machines, which fell more than 2% as consulting revenue narrowly missed analysts’ estimates.
More earnings results are expected on Thursday. United Parcel Service, Honeywell, Northrop Grumman, Southwest Airlines and American Airlines are among the companies set to report before the market opens.
More than 27% of the S&P 500 has reported third-quarter numbers thus far. Of those companies, 76% have beaten analyst expectations, according to FactSet.
Stocks are coming off a losing session, with the Dow suffering its biggest one-day loss since early December, losing more than 400 points. The S&P 500 shed nearly 1%, and the Nasdaq lost 1.6%. Those moves come as Treasury yields rise.
The 10-year Treasury yield has been marching higher this week, topping the 4.25% threshold on Wednesday at the high of the session. The run-up in yields has kept stocks under pressure as of late.
Paul Hickey, the co-founder of Bespoke Investment Group, said that he wouldn’t read too much into the recent sell-off in stocks.
“It’s a rough day today, but you just have to put it in the perspective of what we’ve seen over the last six weeks. Part of this rally has been driven by the fact that earnings results — to start with, the big banks — were very strong, and their stock price reactions were also positive,” he said on CNBC’s “Closing Bell: Overtime” on Wednesday afternoon. “It’s a rough day, but these days happen.”
Hickey cautioned that the market might experience a slight pullback after November’s U.S. presidential election. Still, he reassured that the market would find its footing after the matter.
