Stock futures inch higher after major averages suffer worst day since June

Stock futures rose slightly on Tuesday as the market tried to recover from its worst since June.

Futures tied to the Dow Jones Industrial Average added 40 points, or 0.1%, while S&P 500 and Nasdaq 100 futures also gained 0.1%.

Palo Alto Networks surged in the pre-market on strong quarterly results, while Zoom Video shares slumped after the video conferencing company lowered its full-year guidance.

Wall Street is emerging from a bearish session as a summer rally continued to fade amid growing concerns over rising rates.

The Dow Jones lost more than 600 points on Monday, while the S&P 500 and the Nasdaq Composite fell more than 2% each. These are the biggest one-day declines for the Dow Jones and S&P 500 since June 16. The Nasdaq suffered its worst session since June 28.

Monday’s selling was broad-based, with all 11 S&P 500 sectors closing lower, led by declines in information technology and consumer discretionary stocks. A tumble in tech stocks weighed on the tech-heavy Nasdaq.

“The global growth story is in shambles right now,” said Ed Moya, senior market analyst at Oanda. “That’s what’s really weighing on risk appetite right now, because the US can’t continue to be attractive while the rest of the world is collapsing.”

That sentiment will continue to put pressure on big tech and consumer discretionary stocks, he said. Moya, echoing other investors, expects another round of hawkish reactions from Fed Chairman Jerome Powell when he speaks at the central bank’s annual economic symposium in Jackson on Friday. Hole.

Earnings season continues Tuesday with results from Macy’s, Nordstrom and Dick’s Sporting Goods. July new home sales will also be released, along with the August manufacturing PMI and the Richmond Fed survey for August.

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