US stocks surge as investors brace for earnings from mega-cap tech companies

Share this post
Listen to this article
Trader at NYSE
A trader works at the New York Stock Exchange NYSE in New York, the United States, on March 9, 2022.

  • US stocks scored a three-day win streak Tuesday as investors prepare for earnings results from mega-cap tech.
  • Alphabet and Microsoft are scheduled to release earnings after the close on Tuesday, with Apple and Amazon scheduled for Thursday.
  • With 20% of the S&P 500 having reported earnings so far, 75% have beaten profit estimates by a median of 5%. 

US stocks surged more than 1% on Tuesday, with all major indexes scoring a three-day win streak as investors gear up for third-quarter earnings results from mega-cap tech giants. The S&P 500 closed above a closely watched resistance level at 3,800, but is running up to resistance at its 50-day moving average near 3,870.

Alphabet and Microsoft are ondeck to report third-quarter results after the market close on Tuesday, with Amazon and Apple scheduled to report earnings on Thursday. Investors are looking for clues as to whether an economic recession is likely in the near future. 

But so far, so good, as early results have shown that businesses remain resilient to any economic weakness. According to data from Fundstrat, 20% of S&P 500 companies have reported earnings so far, and 75% of them have beaten profit estimates by a median of 5%. On the revenue side, 69% of those reporting beat analyst estimates by a median of 3%.   

Here’s where US indexes stood at the 4:00 p.m. ET close on Tuesday: 

Here’s what else happened today:

In commodities, bonds and crypto:

  • West Texas Intermediate crude oil rose 0.50% to $85.00 per barrel. Brent crude, oil’s international benchmark, fell 0.17% to $93.10. 
  • Gold rose 0.41% to $1,660.20 per ounce.
  • The yield on the 10-year Treasury tumbled 15 basis points to 4.10%.
  • Bitcoin rose 4.64% to $20,242, while ether jumped 11.12% to $1,497. 
Read the original article on Business Insider