Traders work on the floor of the New York Stock Exchange.
Stock futures traded lower on Tuesday as investors tried to continue to build on the momentum from early 2023 and weighed in on the latest earnings results.
Futures linked to the Dow Jones Industrial Average lost 81 points, or 0.2%. S&P 500 futures fell 0.1%, while Nasdaq-100 futures fell 0.2%.
Goldman Sachs reported a lower-than-expected profit for the fourth quarter, sending shares tumbling more than 2% premarket. The bank’s results were pressured by declines in investment banking and asset management revenues. Meanwhile, rival Morgan Stanley posted better-than-expected numbers thanks in part to record wealth management revenue.
Those results come after other major banks including JPMorgan and Citigroup reported mixed quarterly results.
Wall Street comes from consecutive positive weeks to start the new year. The Nasdaq Composite is leading the way up 5.9% as investors bought battered technology stocks amid rising hopes for an improved outlook for growth stocks. The S&P 500 and the Dow Jones have advanced 4.2% and 3.5%, respectively, since the beginning of the year.
The gains have come on the back of the first crop of inflation-related data that investors saw as an indication of a contracting economy, hoping that would give the Federal Reserve justification to rein in rate hikes. interest once again. Last week, the December Consumer Price Index showed prices cooled 0.1% from the previous month, but prices were still 6.5% higher than the same month last year.