Traders on the floor of the New York Stock Exchange, May 17, 2022.
US stock futures rose Tuesday night after the Nasdaq Composite fell during the regular session, after a warning of slowing growth from social media company Snap that hurt the tech-heavy index.
Dow Jones Industrial Average futures rose 111 points, or 0.4%. S&P 500 and Nasdaq 100 futures rose 0.5% and 0.7%, respectively.
Nordstrom shares jumped more than 10% in extended trading after the retailer Exceeding sales expectations He raised his forecast for the whole year. The retailer has seen a spike in demand with shoppers updating their wardrobes for “long-awaited occasions”.
The Nasdaq Composite is down 2.4% during regular trading while the S&P 500 is down 0.8%. The Dow rose 0.2% in a reversal late in the day, despite dropping as much as 1.6% earlier in the session.
The losses on the Nasdaq came after a warning from Snap Inc that scared the digital ad industry, which hurt social media stocks including Facebook’s parent company Meta, Twitter and Google’s parent Alphabet. Snap’s stock price fell 43% during the regular session after the company said it would It loses its profit and revenue targets.
“It tells me how much technology and telecom services are still too much proprietary, right, because they are the ones that are hit the hardest, and for good reason. Snap has been a really big surprise to just about everyone,” Stephanie Link, Senior Investment Analyst and Portfolio Manager at Hightower said Tuesday in a show. ‘Closing Bell’ on CNBC.
“I think we’re in really challenging times,” she continued. “I’ve said we’ll be in a choppy environment all year long because there’s a lot of unknowns.”
Traders will continue to analyze earnings reports this week to see how companies are dealing with inflationary pressures. Dick’s Sporting Goods is expected to report earnings on Wednesday before the bell. Snowflake and Nvidia are set to publish quarterly reports after the bell.
On the economic front, traders are also watching the latest reports on weekly mortgage orders and durable goods orders before the markets open. Investors are anticipating the latest minutes from the Federal Open Market Committee.
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