US stock futures remained stagnant on Monday night as traders awaited corporate earnings announcements from several Big Tech companies and consumer discretionary names, as well as new economic data. Dow Jones Industrial Average futures slipped by less than 0.01%, while S&P 500 and Nasdaq 100 futures inched down 0.05% and 0.02%, respectively.
In after-hours trading, shares of First Republic Bank slid about 20%, with deposits falling 40% to $104.5 billion in Q1 2023, although they have since stabilized. First Republic also plans to trim expenses, including cutting headcount by 20% to 25% in Q2. During Monday’s regular session, the tech-heavy Nasdaq Composite declined 0.29%, while the Dow rose by 0.2% and the S&P 500 ticked up 0.09%.
Bill Northey, senior investment director at U.S. Bank Wealth Management, expects companies to announce decreased growth momentum as 2023 progresses. He is looking for signs of deterioration, or alternatively healthy revenues, margins and earnings, as well as guidance for the rest of the year. Northey notes that the expectation is for slower levels of growth as the year progresses, and that broader macro factors will influence how portfolios are positioned.
UPS, 3M, Verizon, JetBlue and General Motors are among the companies announcing quarterly earnings on Tuesday before the bell. Large-cap consumer names McDonald’s and PepsiCo will also be issuing results. Investors will also be keeping an eye on UBS’s report, which will be its first earnings release since its acquisition of Credit Suisse.
Tech giants Alphabet and Microsoft will be top of mind for investors, as both companies will post their quarterly results after the close on Tuesday. Wall Street will also receive data on the state of housing prices through new home sales numbers in March and the S&P/Case-Shiller 20-city home price index data for February. Additionally, consumer confidence data for April will be released.
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