Futures edge higher
U.S. stocks look poised to open sharply higher on Tuesday, as fears of a global economic slowdown from the coronavirus outbreak eased.
China has ramped up efforts to protect its economy from the spread of the deadly coronavirus, which has sickened more than 20,000 people and killed over 420.
Chinese President Xi Jinping asked all officials to act more quickly to deal with the virus at a rare meeting of the Communist Party’s top leaders on Monday. The People’s Bank of China (PBOC) also announced a new cash injection of $71 billion meant to support the country’s economy.
At around 4:25 a.m. ET, the blue-chip Dow futures were seen gaining 272.5 points, or 0.96% to 28,633.5. The S&P 500 futures rose 33.12 points, or 1.02% to 3,278.62 while the tech-heavy Nasdaq 100 futures advanced 102.13 points, or 1.12% to 9,216.38.
Oil attempts rebound ahead of OPEC+ meeting
In commodities, crude futures inched higher this morning as the Organization of the Petroleum Exporting Countries’ (OPEC) and its allies meet in Vienna to discuss potential oil production cuts and the coronavirus outbreak.
Prices entered a bear territory on Monday, with Brent crude dropping by over 4% to a low of $54.17 per barrel, its lowest level in more than a year.
By 4:25 a.m. ET Tuesday, U.S. West Texas Intermediate crude futures were up $1.00, or around 2.00%, at $51.11 per barrel. Brent crude oil futures were at $55.09 a barrel, up 64 cents, or about 1.18%.
Disney, Chipotle, Ford report earnings today
Disney (NYSE: DIS) is set scheduled to report its fiscal first-quarter 2020 earnings after the market closes on Tuesday. The report will include the first official subscriber numbers for the new Disney+ streaming service.
Analysts expect the company to reveal that between 25 million to 30 million people have subscribed to the service since its launch on November 12. Disney is also projected to post earnings of $1.46 per share on revenue of $20.78 billion for the quarter.
Other key earnings to watch today include Ford (NYSE: F), Chipotle Mexican Grill (NYSE: CMG), Centene (NYSE: CNC), Emerson Electric (NYSE: EMR), and McKesson (NYSE: MCK).
