Dow, S&P 500 and Nasdaq-100 futures all traded lower Tuesday as Treasury yields climbed to multi-year highs. Nvidia, Micron and Sandisk led tech shares lower premarket, while Home Depot rallied on stronger-than-expected earnings.
Futures for the Dow Jones Industrial Average and the other major stock indexes traded lower Tuesday as Wall Street reacted to rising Treasury yields that hit multi-year highs. Nvidia, Micron Technology and Sandisk were among the biggest premarket losers.
Ahead of the open, Dow futures fell 0.1%. S&P 500 futures moved down 0.5%, and Nasdaq-100 futures tumbled 1.2% in early morning trading.
Nvidia, Micron, Sandisk sell off
Nvidia stock sold off nearly 2% premarket, set to extend a losing streak to three sessions. Shares are building a cup base with a 236.54 buy point.
Micron shares declined almost 4% premarket, threatening to snap a five-day winning streak that saw them regain their 50-day moving average. Sandisk dived nearly 5% in early morning action, on pace to give back a large part of Monday's near-9% advance.
Bond yields press on sentiment
The pressure came as the 10-year Treasury yield rose to 4.74%. The 30-year Treasury yield climbed to 5.2%, its highest level since June 2007. Among exchange-traded funds, the Invesco QQQ fell 1.1%, and the SPDR S&P 500 ETF dropped 0.4% before the opening bell.
Home Depot rallies on earnings
Home Depot bucked the tech weakness, with shares rallying 1.5% after the company reported better-than-expected fiscal second-quarter results and reaffirmed its full-year outlook. The retailer posted adjusted earnings of $4.92 a share on sales of $47.9 billion, topping estimates of $4.73 a share and $47.2 billion.
Source: Investor's Business Daily
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