Stock futures rise after Tuesday’s broad rebound



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Stock futures edged up in overnight trading after the market rebounded on Tuesday from a tech-led sell off the day before.

Futures contracts on the Dow Jones Industrial Average gained 50 points, or 0.15%. S&P 500 futures were up 0.1% and Nasdaq 100 futures were up 0.1%.

The market rallied broadly during Tuesday’s regular session, with nine of the S&P 500’s 11 sectors closing positively. The Dow Jones gained 312 points, or 0.92%. The S&P 500 rose 1.05% and the Nasdaq Composite rose 1.25%.

Mega-cap tech stocks closed higher on Tuesday after being reversed in the previous trading session. Facebook has remained focused after a long outage and claims from a whistleblower that the company knows it’s harming people.

The financial sector ended Tuesday as the best performing segment of the S&P 500, up 1.78%. Other sectors oriented towards an economic recovery have also seen their shares increase. Energy names rose as oil prices rose. Shares of cruise lines, airlines and retailers also rose.

A better-than-expected manufacturing reading on Tuesday contributed to optimism about the economic recovery. The Institute for Supply Management’s Service Purchasing Managers Index report for September rose to 61.9 from 61.7 in August, 0.2 points better than expected.

“Investors are looking into the risk following another strong business climate survey which may suggest that the slowdown in growth caused by Delta at the end of the summer is already a thing of the past,” he said. Goldman Sachs’ Chris Hussey said in a note Tuesday.

Denim retailer Levi Strauss and alcoholic beverage company Constellation Brands are expected to release quarterly results on Wednesday.

The ADP report on private wages for September is expected to be released on Wednesday. Still on the labor market front, the closely watched non-farm payroll report for September is expected to be released on Friday.

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