U.S. stocks struggled for direction on Tuesday, but recovered from session lows as investors digested the recent bond market selloff and the upcoming wave of earnings reports.
The S&P 500 (^GSPC) and Dow Jones Industrial Average (^DJI) finished just below the flatline, and the tech-heavy Nasdaq Composite Index (^IXIC) rose about 0.2%. This is the first time since September 6th that the S&P 500 has had consecutive negative days.
Stock prices have been moving cautiously amid growing doubts about whether the Federal Reserve will continue to aggressively cut interest rates or whether they will remain unchanged in November. Factors include a strong economy, cautious Fedspeak, and concerns about the fiscal impact of Republican candidate Donald Trump’s election victory.
Read more: What Fed Rate Cuts Mean for Bank Accounts, CDs, Loans, and Credit Cards
Amid uncertainty, the 10-year U.S. Treasury yield (^TNX) rose sharply on Monday, above that level for the first time since July, and stabilized around 4.2%. Bond selling has weighed on interest-rate-sensitive stocks such as real estate, and rising yields typically trigger stock prices to fall.
In terms of profits, General Motors (GM) raised its earnings forecast for the third time this year, as quarterly profits and sales exceeded due to strong EV sales. GM stock closed up more than 10%. In other earnings, GE Aerospace (GE) stock fell more than 8% and Verizon (VZ) stock fell about 5% after a mixed third-quarter earnings report.
At the same time, expectations for Wednesday’s Tesla (TSLA) earnings are rising as Wall Street debates whether the “Magnificent Seven” tech megacaps will drive the stock’s next rally.
Despite the rise in yields, gold (GC=F) prices rose and secured new all-time highs. It rose as investors sought safety as the US presidential election looms and tensions in the Middle East remain high.
LIVE 9 updates
Walmart announces same-day delivery of prescriptions
Yahoo Finance’s Anjalee Khemlani reports:
Walmart (WMT) on Tuesday announced plans to offer same-day prescription delivery in six states and expand to all 49 states in which it operates pharmacies by January.
The first six states are: Arkansas, Missouri, New York, Nevada, South Carolina, and Wisconsin. North Dakota is the only state where Walmart does not operate a pharmacy.
The move puts Walmart in a competitive space for online pharmacy and retail same-day delivery with players such as Amazon (AMZN) Pharmacy, Walgreens (WBA), and CVS (CVS).
The new service is integrated with Walmart’s existing delivery service, allowing patients to add prescriptions to their carts along with other items and schedule a delivery time, which Walmart says is a key differentiator. I can do that. Walmart said in an announcement that it will honor new or existing prescriptions and insurance coverage as if the patient had come to a store to pick up a prescription.
Shares rose about 2% in late afternoon trading.
Click here for details.
DJT stock hits highest since July
Trump Media and Technology Group stock (DJT) rose to its lowest level since July on Tuesday as investors bet on former President Donald Trump’s odds of winning in the November election, which is just two weeks away. It hit a new high and rose by up to 10%.
Shares of the company that operates Truth Social, the Republican candidate’s social media platform, have soared recently as domestic and international betting markets shift in favor of Trump’s victory, and shares of Polymarket, PredictIt, Calci and others have soared recently. All prediction sites are pointing to Trump winning. His presidential chances are ahead of Democratic candidate and current Vice President Kamala Harris.
But national average polls show that both candidates are running incredibly close races, especially in key battleground states like Pennsylvania and Michigan, which will likely decide the fate of the election.
Trump Media listed on the Nasdaq in late March after merging with special acquisition vehicle Digital World Acquisition Corporation. However, the stock has had a turbulent run since then, and this movement is usually associated with volatile conditions, causing the stock to oscillate between highs and lows. news cycle.
The stock price has fallen about 8% over the past six months, a significant improvement from the rally since the stock hit its lowest point last month.
Trump maintains a roughly 60% interest in DJT. At more than the current price of $33 per share, Trump Media would have a market capitalization of about $6.7 billion, and the former president’s stock holdings would be worth about $4 billion. Shortly after the company’s public debut, Trump’s stake was valued at just over $4.5 billion.
Click here for details.
Sector check: energy leads, information technology lags
Energy (XLE), consumer staples (XLP) and real estate (XLRE) led the sector moves on Tuesday, with the market set for the second consecutive session as traders priced in the Federal Reserve’s long-term policy stance. It fell back.
The rise in crude oil prices was notable, with WTI crude oil (CL=F) rising about 3% to trade above $72.50 per barrel. Brent crude oil (BZ=F), the international benchmark, rose more than 2% to trade at just over $76 a barrel.
Information technology (XLI), materials (XLB) and consumer staples (XLY) were the biggest laggards of the day.
Elections bring ‘high’ level of uncertainty to global economic outlook: IMF
Yahoo Finance’s Jennifer Schonberger reports:
The International Monetary Fund said on Tuesday that the global economy is on pace for a soft landing this year and in 2025, but the outlook is declining as elections around the world and potential changes to trade and fiscal policy take place. He said there was a “high” level of uncertainty.
The IMF says higher global tariffs will exacerbate trade tensions, disrupt global supply chains, and limit the positive spillovers from innovation and technology transfer that once fueled growth in emerging market and developing countries. This could put pressure on medium-term growth prospects, he said.
Click here for details.
Markets are discussing raising the Fed’s long-term interest rate stance
U.S. Treasury yields soared last month on a string of better-than-expected economic data and signs that inflation may take longer to fall toward the Fed’s 2% target than initially expected.
The 10-year Treasury yield (^TNX) has risen nearly 50 basis points over the past month as a result of this data, hovering around 4.2%, its highest level since July. As the chart below shows, the debate among investors is less about whether the Fed will cut rates again in November and more about how quickly the Fed will cut rates over the next year. It seems to be the one.
As of Tuesday morning, the market was still pricing in about an 88% chance that the Fed would cut rates at its November meeting, according to the CME FedWatch tool. However, by the end of next year, the market expects the Fed to cut rates by one less than expected on October 4th, and two fewer than expected on September 18th, when the Fed cut rates by 0.5 percentage point. It is considered that there is a high possibility that this will happen.
General Motors raises profit forecast, stock price soars
General Motors (GM) shares rose more than 7% Tuesday morning after the company raised its earnings outlook for the third time this year.
Yahoo Finance’s Pras Subramanian reports:
For the quarter, GM reported revenue of $48.78 billion, easily beating the Bloomberg consensus estimate of $44.69 billion and up from about $48 billion in the previous quarter. GM’s third-quarter sales also increased 10.5% year-over-year.
The company reported adjusted earnings of $2.96 per share, well above expectations of $2.44. The company reported EBIT-adjusted profit of $4.115 billion, an increase of 15.5% year over year, and EBIT-adjusted profit margin of 8.4%, up from 8.1% year-over-year.
Click here for details.
Stock prices fall due to
U.S. stocks fell on Tuesday as investors digested the recent bond market selloff and braced for the next wave of earnings reports.
The S&P 500 (^GSPC) fell more than 0.5%. The Dow Jones Industrial Average (^DJI) fell more than 120 points (0.3%), and the tech-heavy Nasdaq Composite Index (^IXIC) fell about 0.6%.
Companies reporting financial results on Tuesday morning
On Tuesday morning, many companies announced their third quarter results.
The stocks that moved the most before the market were GE Aerospace (GE), Verizon (VZ), 3M (MMM), and Philip Morris (PM). GE Aerospace stock fell more than 5% and Verizon stock fell about 3% after mixed third-quarter reports. Paint company Sherwin-Williams (SHW) fell 4% after poor results. Lockheed Martin (LMT) and Moody’s (MCO) were down less than 1% despite strong results.
Meanwhile, Philip Morris rose 3% after raising its guidance due to rising tobacco prices and a surge in smoke-free businesses. General Motors (GM) rose 1.4%, and high-tech manufacturing conglomerate 3M rose 6%, with higher profits.
Here are details about the company’s performance (as per Bloomberg consensus estimates):
good morning. Here’s what happened today:
Economic data: Philadelphia Fed Nonmanufacturing Business Index (October). Richmond Fed Manufacturing Business Index (October)
Revenue: General Motors (GM), 3M Company (MMM), RTX Corporation (RTX), Verizon Communications (VZ), GE Aerospace (GE), Lockheed Martin (LMT), Quest Diagnostics (DGX), Philip Morris (PM), Denny’s Corporation (DENN), Sherwin-Williams (SHW), Interpublic Group of Companies (IPG), Norfolk Southern Corporation (NSC), Texas Instruments (TXN), PulteGroup (PHM), Enphase Energy (ENPH)
Here are some of the biggest stories you may have missed throughout the night and early this morning.
GM raises profit forecast again after 3rd quarter earnings beat
Nvidia plans to invest in Thailand as Southeast Asia becomes AI hub
ASML: Growth in 2026, US-China tensions continue
Bullish Citi raises 3-month gold price outlook to $2,800
Trump tariffs: How big companies can avoid ‘blanket’ tariffs
