US equity futures were flat ahead of Tuesday's opening bell as investors evaluated mixed earnings from major US firms. The Dow Jones Industrial Average futures, S&P 500 futures, and Nasdaq futures showed minimal movement, indicating cautious sentiment among investors who are digesting the latest earnings reports.
Oil prices experienced a downward trend, with the front-month global benchmark North Sea Brent crude declining by 3.9%, now priced at $74.39 per barrel. Similarly, the US West Texas Intermediate crude dropped by 4.3%, currently at $70.67 per barrel, reflecting concerns over demand amid economic uncertainties.
The Empire State Manufacturing Index, which measures manufacturing activity in New York, was released at 8:30 am ET, reporting a troubling minus 11.9 for October. This figure significantly deviated from September's reading of 11.5 and fell short of Bloomberg's estimates which anticipated a reading of 3.6.
In other global markets, Japan’s Nikkei concluded the day 0.8% higher, showcasing resilience in its market. Conversely, Hong Kong’s Hang Seng Index faced challenges, ending the day down 3.7%, while China’s Shanghai Composite Index finished at a loss of 2.5%. In the UK, the FTSE 100 index dipped by 0.4%, contrasted by a 0.3% gain in Germany's DAX index during Europe’s early afternoon session.
In the equity markets, shares of UnitedHealth Group plunged by 4% prior to the market bell after the healthcare giant revised its full-year 2024 adjusted profit outlook downward. Similarly, Johnson & Johnson saw its shares decrease by 1.2% following a report that revealed lower fiscal Q3 adjusted profit and an adjustment in its full-year profit guidance.
On a brighter note, Bank of America experienced a rise in shares by 1.8% after announcing Q3 earnings and revenue figures that surpassed analyst expectations. Citigroup shares also saw an uptick, increasing by 2.2% following Q3 earnings and revenue that exceeded market forecasts. Notably, Wolfspeed shares surged by an impressive 29%, as the company disclosed an expectation of acquiring up to $2.5 billion in additional capital from various sources.
Overall, the market exhibits a mixed sentiment, balancing between optimism surrounding certain firms and concerns regarding broader economic indicators..