Traders on the NYSE, May 17, 2022.
US futures rose on Tuesday night after the Nasdaq Composite dropped in its regular session, following a warning of slowing growth from social media company Snap, which weighed on the index. Heavy technology.
Dow Jones Industrial Average futures rose 111 points, or 0.4%. Futures for the S&P 500 and Nasdaq 100 were up 0.4% and 0.6%, respectively.
Nordstrom stock jumped more than 10% in extended trading after the retailer Exceeded sales expectations and raise its full-year outlook. The retailer has experienced a surge in demand from shoppers refreshing their wardrobes for “long-awaited occasions”.
The Nasdaq Composite fell 2.4% in regular trading while the S&P 500 fell 0.8%. The Dow gained 0.2% in a late-day reversal, despite falling 1.6% earlier in the session.
The Nasdaq losses come after a warning from Snap spooked the digital advertising industry, which has already hit social media stocks including Facebook’s parent Meta, Twitter and Google’s parent Alphabet. Snap’s stock price fell 43% in normal trading after the company said it would miss your own income and revenue goals.
“It tells me how many commuting technologies and services are still over-owned, right, because they’re the services that are being hit the hardest, and for good reason. Snap really is a big surprise for everyone,” Stephanie Link, investment strategist and portfolio manager at Hightower, said Tuesday on CNBC’s “Closing Bells.”
“I think we’re in a really challenging time. I said we’re going to be in a volatile environment all year because there are so many unknowns,” she continued.
Traders will continue to rummage through earnings reports this week to see how companies are handling inflationary pressures. Dick’s Sporting Goods is expected to report earnings on Wednesday before the alarm goes off. Snowflake and Nvidia will post quarterly reports after the bell.
On the economic front, traders are also keeping an eye on the latest reports of weekly mortgage applications and durables orders before the market opens. Investors are looking forward to the latest meeting minutes from the Federal Open Market Committee.