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U.S. stock futures were little changed late Tuesday, October 6, after the S&P 500 and Nasdaq Composite closed at record highs. Investors weighed continued demand for technology shares against the next day’s Federal Reserve meeting minutes and the approaching start of third-quarter corporate earnings reports.
At 8:03 p.m. Eastern time, S&P 500 futures were up 0.1% at 7,880.75, Nasdaq 100 futures were nearly flat at 31,493.25, and Dow futures were little changed at 51,827, according to Investing.com. The figures reflected overnight trading, not a forecast of where the indexes would open in the next regular session.
Both indexes finished at closing records
In Tuesday’s regular session, the S&P 500 added 44.98 points, or 0.58%, to close at 7,818.93—its first close above 7,800. The Nasdaq Composite rose 0.45% to 27,599.79, extending its record run to a second session. The Dow Jones Industrial Average gained 0.49% to 51,521.28.
The S&P 500 had also briefly reached a record during the session. Reuters reported that it rose as much as 0.6%, passing its previous intraday high of 7,816.7, set on August 13. The latest advance added to a bull market that began in October 2022, Reuters said.
Chipmakers and power demand drew attention
Technology shares, particularly companies tied to artificial-intelligence infrastructure, helped support the market. Advanced Micro Devices rose 2.8% and Marvell Technology gained 5.81% on Tuesday, while Nvidia was up 0.14% and remained near a $6 trillion market valuation, according to the Investing.com report.
Constellation Energy was another prominent mover, jumping 12.25% after announcing a long-term electricity agreement with Google. The deal highlighted a related area of investor interest: the power supply needed by data centers. The available reports did not provide details of the agreement’s duration or financial terms.
Bond yields eased from recent highs
Treasury yields pulled back on Tuesday, offering some relief after a recent climb. The 10-year yield ended near 5.28%, down from about 5.31% late Monday, while the two-year yield was around 4.80%. Reuters reported that the 10-year yield had exceeded 5.35% on Monday, its highest level since April 2002.
Lower yields can ease pressure on stock valuations, but Tuesday’s move did not resolve broader concerns about borrowing costs. The day’s gains came as investors continued to consider how bond-market movements and energy prices could affect inflation and the outlook for monetary policy.
Fed minutes and earnings season are next
Investors were awaiting minutes from the Federal Reserve’s September meeting, scheduled for Wednesday, October 7. The minutes could offer detail on officials’ discussion of interest rates; the report did not establish what policy decision the Fed will make at its next meeting.
Market expectations for an October rate increase had fallen after softer employment and inflation data. Investing.com reported that futures pricing implied roughly an 80% chance of no change at the October meeting, compared with expectations for a hike a week earlier. That reading is a market-implied probability, not a commitment by Fed officials.
Third-quarter earnings are also approaching. Investing.com said the reporting season would begin in earnest the following week, while the Associated Press reported that Delta Air Lines was due to report Friday and major banks were among the companies reporting the week after. AP cited FactSet data showing analysts expected S&P 500 earnings per share to grow nearly 30% from a year earlier, an expectation companies’ results will need to meet or exceed to support confidence in profit growth.
