Stock Futures Rise as Earnings Season Ramps Up

U.S. stock futures climbed amid a slew of earnings releases and testimony by Janet Yellen in which she is expected to support higher coronavirus relief spending.

Futures tied to the S&P 500 rose 0.7%, pointing to gains after the opening bell. Those linked to the Nasdaq-100 added 0.8%, suggesting a rally in tech stocks.

Earnings season kicked into high gear Tuesday. Shares of Bank of America fell over 1% in premarket trading after it reported that its quarterly profit fell 22%. However, Goldman Sachs rose 2.8% after releasing earnings that significantly beat expectations.

Netflix is expected to report results after markets close.

Major banks’ recent earnings suggest they are “seeing the economy stabilize; their worst-case scenarios haven’t been met,” said Shaniel Ramjee, a multiasset fund manager at Pictet Asset Management. “Even if the virus is still with us, banks are seeing an uplift in the economy.”

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