Stocks poised for a mixed start
U.S. stock index futures pointed to a mixed open Tuesday as investors awaited first quarter earnings from major companies on Wall Street.
Companies reporting before the opening bell include General Electric Co (NYSE: GE), General Motors Co (NYSE: GM), Pfizer Inc (NYSE: PFE), Eli Lilly (NYSE: LLY), Phillips 66 (NYSE: PSX), Merck & Co., Inc. (NYSE: MRK), WellCare Health Plans, Inc. (NYSE: WCG), McDonald’s Co (NYSE: MCD).
Apple Inc (NASDAQ: AAPL), which will report results after the closing bell, was up 0.59% in premarket trading. Others reporting after the close include Amgen Inc (NASDAQ: AMGN), Mondelez International, Inc. (NASDAQ: MDLZ)
At 6:21 a.m. ET, futures on the blue-chip Dow pointed to a gain of 3.5 points, or 0.01% to 26,551.5. Futures on the tech-heavy Nasdaq lost 8.25 points, or 0.11% to 7,805.50 while those on the S&P 500 were down 1.12, or 0.04% to 2,941.88.
Alphabet shares under pressure after revenue miss
Alphabet Inc (NASDAQ: GOOG), the parent company of Google saw its shares plunge in after-hours trading after posting first quarter 2019 revenue that was below expectations of analysts. The company reported revenue of $36.6 billion in the quarter, up 17% on a year-over-year basis but lower than analysts’ forecast of $37.7 billion.
Profit also declined during the first three months of 2019, impacted by a $1.7 billion fine from the EU for putting anti-competitive restrictions on rival online search advertisers. Shares of the search giant lost $103.28, or 7.97% to $1,192.92 in pre-market trading.
Mnuchin hoping for “substantial progress” in U.S.-China trade talks
U.S. Treasury Secretary Steven Mnuchin says he hopes to make substantial progress in talks with Chinese negotiators aimed at ending a prolonged trade war between the two countries. Speaking to reports at a hotel in Beijing on Tuesday, Mnuchin said: “We’re looking forward to productive discussions over the next few days.”
U.S and China will start a fresh round of discussions in Beijing on Tuesday. Chinese officials will travel to Washington for another round of discussions scheduled for next week.
The We Company files confidentially for IPO
The We Company, previously known as WeWork, officially submitted confidential paperwork on Monday to the U.S. Securities and Exchange Commission (SEC) for an initial public offering. WeWork was valued at $47 billion in its latest funding round, and adds to the backlog of highly valued startups that are seeking to go public this year.