Stock futures edged higher in early trade on Tuesday as investors looked ahead to Tuesday’s U.S. midterm elections.
Futures linked to the Dow Jones Industrial Average rose 65 points or 0.2, as did S&P 500 futures. Nasdaq 100 futures rose 0.45%.
Shares of Lyft fell nearly 20% in premarket trading, while Take-Two Interactive and Tripadvisor fell more than 18% each after reporting disappointing quarterly results.
The day before, all major indexes posted their second consecutive gain. The Dow Jones Industrial Average closed up 423.78 points, or 1.31 percent. Meanwhile, the S&P 500 gained 0.96% and the Nasdaq Composite gained 0.85%.
Investors are awaiting the results of the midterm elections on Tuesday. They will decide which party controls Congress and directs future policy and spending.
Any market reaction will likely depend on whether Republicans take back the House, Senate or both.
“The idea [Republicans are] On Monday, RBC Capital Markets said on CNBC’s “Fast Money” that repossession of the house was all but baked into the market. “I’m not saying it wasn’t a good thing, we won. Not a few days feel good, or it’s not going to provide some stability, but I think for a big mover in the S&P, they also need to take back the Senate. “
Wall Street will also be closely watching Thursday’s consumer price index report for the latest data on how well the Federal Reserve’s rate hikes have contained high inflation. The data could also bode well for the central bank’s path forward – another report that beat expectations could encourage the Fed to hike rates aggressively in December.
The earnings season continues this week. Tuesday, Lordstown Motors, sober group, walt disney and AMC Entertainment Both reported their latest quarterly results.