Futures Pointing To Another Early Rebound On Wall Street

The major U.S. index futures are currently pointing to a higher open on Tuesday, with stocks likely to stage another recovery attempt following the significant downturn seen over the course of the previous session.

Traders may once again look to go bargain hunting in the tech sector following yesterday’s slump, which dragged the tech-heavy Nasdaq down to its lowest closing level in three months.

The Nasdaq 100 futures are advancing by 0.8 percent despite a 4.4 percent plunge by shares of Apple (AAPL) in pre-market trading.

The iPhone maker posted increased quarterly revenue and profits but forecast slightly below-consensus gross margin for the current quarter, citing mounting headwinds from rising component prices.

Early buying interest may also be generated in reaction to an extended slump in crude oil prices, which nosedives in the previous session amid optimism about a diplomatic solution to the U.S.-Iran conflict.

After rebounding earlier in the day, U.S. crude oil futures have pulled back firmly into negative territory over the course of the morning.

Stocks showed a strong move to the upside in early trading on Monday but saw a significant downturn over the course of the session. The major averages pulled back well off their early highs, with the Nasdaq and S&P 500 sliding into negative territory.

The tech-heavy Nasdaq slumped 272.68 points or 1.1 percent to 25,164.32, while the S&P 500 fell 38.67 points or 0.5 percent to 7,541.40.

The Nasdaq and S&P 500 extended the sharp pullback seen over last Thursday and Friday’s sessions, hitting their lowest closing levels in three months.

Meanwhile, the narrower Dow ended the day up 213.67 points or 0.4 percent at 51,983.98 amid strong gains by Sherwin-Williams (SHW), Home Depot (HD) and Walmart (WMT).

The significant downturn by the Nasdaq came amid continued weakness among tech stocks, as worries about the outlook for the artificial intelligence weighed on the sector once again.

Computer hardware stocks turned in some of the tech sector’s worst performances, with the NYSE Arca Computer Hardware Index plunging by 5.5 percent to a three-month closing low.

Semiconductor, networking and software stocks also showed substantial moves to the downside over the course of the trading session.

Outside of the tech sector, energy stocks moved sharply lower along with the price of crude oil, dragging the Philadelphia Oil Service Index and the NYSE Arca Oil Index down by 5.1 percent and 4.3 percent, respectively.

U.S. crude oil futures plummeted by more than 7 percent, tumbling well below $100 a barrel amid renewed optimism about a potential diplomatic solution to the ongoing conflict in the Middle East.

Over the weekend, Secretary of State Marco Rubio said President Donald Trump would like to resolve the U.S.-Iran war “diplomatically.”

“What the president expresses to you is incredible confidence that if we needed to do something militarily, we would have the ability to do it, and we really we have everything we need to be successful,” Rubio said. “But we would prefer to do it peacefully.”

Ongoing discussions involving Iranian officials and Qatari mediators have also raised hopes of possible breakthrough that could ease supply concerns and improve the outlook for global energy markets.

The steep drop in crude oil prices contributed to the early strength on Wall Street along with bargain hunting following the sharp pullback seen late last week.

In U.S. economic news, the Institute for Supply Management released a report showing its reading on U.S. manufacturing activity increased by more than expected in the month of October.

The ISM said its manufacturing PMI rose to 55.5 in October after edging down to 54.5 in September, with a reading above 50 indicating growth. Economists had expected the index to inch up to 54.6.

Commodity, Currency Markets

Crude oil futures are plunging $2.35 to $94.11 a barrel after plummeting $7.66 to $96.46 a barrel on Monday. Meanwhile, after jumping $70.70 to $3,969.60 an ounce in the previous session, gold futures are inching up $3 to $3,972.60 an ounce.

On the currency front, the U.S. dollar is trading at 158.09 yen compared to the 157.94 yen it fetched at the close of New York trading on Monday. Against the euro, the dollar is valued at $1.1191 compared to yesterday’s $1.1185.

Asia

Asian shares ended mixed on Tuesday as tech and AI-related shares remained shacky and oil prices rebounded on heightened fears of Middle East escalation. Adding to concerns about profitability of AI investments, Apple delivered mixed earnings results.

The iPhone maker posted increased quarterly revenue and profits but forecast slightly below-consensus gross margin for the current quarter, citing mounting headwinds from rising component prices.

The U.S. dollar edged lower in Asian trading as Americans prepared to cast their ballots in their midterm elections, where President Donald Trump’s Republican Party is facing an uphill challenge to keep its majority in Congress.

Gold prices fell nearly 1 percent toward $3,900 an ounce, while Brent crude futures rose almost 2 percent to $106.43 a barrel after plummeting 7.6 percent in the previous session on signs of diplomatic progress between the U.S. and Iran.

Iranian President Masoud Pezeshkian said his government has been granted more authority by the country’s supreme leader Mojtaba Khamenei to pursue peace talks.

The United States reportedly struck Iran’s strategic Qeshm Island in the Strait of Hormuz on Monday, the latest in a series of limited strikes on the country in recent weeks.

Iran’s parliament speaker and chief negotiator in talks with the United States, Mohammad Bagher Ghalibaf said that “the ball is in the U.S. court” to prevent war and that Tehran remains prepared for both diplomacy and military confrontation.

China’s Shanghai Composite Index fell 0.8 percent to 3,608.10 despite the People’s Bank of China announcing it would step up the use of monetary policy tools to support its capital market, strengthen market resilience and boost investor confidence. Hong Kong’s Hang Seng Index rose 0.6 percent to 23,525.97.

Japanese markets were closed for a national public holiday. Seoul stocks tumbled amid foreign and institutional sell-off on growing worries about massive artificial intelligence (AI) spending.

The Kospi Index plunged 3.6 percent to 5,648.79. Semiconductor shares suffered heavy losses, with Samsung Electronics, SK Square and SK Hynix falling 4-5 percent.

Australian markets eked out modest gains as the Reserve Bank of Australia (RBA) raised the cash rate by 25 basis points to 4.85 percent, marking the fifth increase this year.

Governor Michele Bullock signaled a wait-and-see approach to further tightening and emphasized anchoring inflation expectations within the official target band of 2 percent to 3 percent.

The benchmark S&P/ASX 200 Index rose 0.3 percent to 8,886.80, led by materials and consumer stocks. The broader All Ordinaries Index closed 0.4 percent higher at 9,008.90.

Across the Tasman, New Zealand’s benchmark S&P/NZX-50 Index edged up 0.2 percent to 13,720.76, halting losses from the previous session ahead of the general election.

Europe

European stocks have moved mostly lower on Tuesday as Apple delivered a mixed earnings report and oil prices rebounded to around $107 a barrel after a reported U.S. attack on Qeshm Island on the eve of crucial midterm elections.

iPhone maker Apple posted increased quarterly revenue and profits but forecast slightly below-consensus gross margin for the current quarter, citing mounting headwinds from rising component prices.

While the French CAC 40 Index is down by 0.1 percent, the German DAX Index is down by 0.5 percent and the U.K.’s FTSE 100 Index is down by 0.7 percent.

Tech stocks were broadly lower, with Aixtron, ASM International, ASML, Infineon Technologies and STMicroelectronics showing notable declines.

Auto supplier Schaeffler has also dropped. After reporting a slight decline in third-quarter revenue and operating profit, the company said it would cut 3460 jobs and close five sites in Europe.

TeamViewer has also shown a substantial move to the downside after the software maker cut its 2026 revenue growth forecast.

Online fashion retailer Zalando has also plummeted after reporting weaker gross margins in the third quarter.

Shares of Associated British Foods have also tumbled in London. The owner of Primark forecast another profit decline this year after reporting a 14 percent drop in 2025/26.

Seiss specialty chemicals maker Clariant has also declined after its third-quarter core profit fell short of expectations.

Meanwhile, German pharmaceuticals and agriculture group Bayer has soared after delivering stronger-than-expected third-quarter sales and lifting its 2026 profit outlook.

Airline group Deutsche Lufthansa has also surged after reporting an increase in third-quarter net profit.

Philips has also jumped. The Dutch healthcare technology manufacturer beat market expectations for third-quarter core earnings.

U.S. Economic News

The Commerce Department is due to release its report on new orders for manufactured goods in the month of September at 10 am ET. Factory orders are expected to jump by 1.2 percent in September after inching up by 0.1 percent in August.

Also at 10 am ET, the Labor Department is scheduled to release its report on job openings in the month of September. Job openings are expected to increase to 7.160 million in September from 7.079 million in August.