U.S. stock futures were swinging between gains and losses on Tuesday, as the Dow Jones and S&P 500 indices rose, while the Nasdaq 100 index fell, following Monday's mixed close.
The ongoing war in Iran is mounting significant economic and strategic pressure on the U.S. as Brent futures hover around $105 and household costs surge by nearly $2,000. While Treasury Secretary Scott Bessent said Iran's economy is "collapsing" under pressure, high inflation, and elevated interest rates, Iran has threatened to target critical digital infrastructure.
Meanwhile, the 10-year Treasury bond yielded 5.19%, and the 2-year Treasury bond yielded 4.76% at last check. The CME Group's FedWatch tool projections show markets pricing in a 19.4% likelihood of the Federal Reserve hiking interest rates after its October meeting.
The SPDR S&P 500 ETF Trust (NYSE: SPY) and Invesco QQQ Trust ETF (NASDAQ: QQQ), which track the S&P 500 index and Nasdaq 100 index, respectively, were mixed in premarket trading on Tuesday. The SPY rose by 0.031% to $778.34, while the QQQ declined 0.42% to $742.93.
China SXT Pharmaceuticals
- China SXT Pharmaceuticals Inc. (NASDAQ: SXTC) plunged 20.69% as Univest Securities, LLC announced the closing of a $12 million registered direct offering for SXTC.
- MarketDash's Edge Stock Rankings indicate that SXTC maintains a strong price trend in the long, short, and medium terms.
TTM Technologies
- TTM Technologies Inc. (NASDAQ: TTMI) was 1.17% lower following its announcement of $400 million in planned strategic investments to accelerate AI infrastructure capacity in China and Malaysia.
- MarketDash's Edge Stock Rankings indicate that TTMI maintains a weak price trend in the short, long, and medium terms, with a good quality score.
Chipotle Mexican
- Chipotle Mexican Grill Inc. (NYSE: CMG) was 0.33% higher in premarket trading on Tuesday after falling 3.775 on Monday as Starbucks Corporation (NASDAQ: SBUX) denied that it is considering acquiring the fast-casual chain.
- MarketDash's Edge Stock Rankings indicate that CMG maintains a weak price trend in the short, long, and medium terms with a poor value score.
Applied Materials
- Applied Materials Inc. (NASDAQ: AMAT) was 1.77% lower despite unveiling a $5 billion EPIC Center in Silicon Valley to accelerate semiconductor innovation for the AI Era.
- MarketDash's Edge Stock Rankings indicate that AMAT maintains a strong price trend in the short and long term but a weak trend in the medium term, with a moderate growth score.
Cues From Last Session
Industrials, consumer discretionary and information technology stocks recorded the biggest losses on Monday, whereas all the other sectors closed higher.
Insights From Analysts
Based on LPL Financial's weekly commentary, LPL expects the U.S. economy to continue expanding despite sector-specific crosscurrents, driven primarily by strong business borrowing and corporate investment.
LPL Research highlights that commercial and industrial lending remains robust, noting that "even after a prolonged stretch of higher interest rates, credit looks more like a tailwind than a constraint for business spending."
While the housing sector remains "stuck in place" due to high mortgage rates and the lock-in effect, LPL emphasizes that the economy "doesn't need every sector firing at once to keep expanding." Reduced loan spreads and strong corporate balance sheets are expected to pick up the slack.
For the stock market, LPL's Strategic and Tactical Asset Allocation Committee maintains a tactical overweight on equities and an underweight on fixed income through 2026. LPL expects the "prospects for the macro backdrop to improve and the AI-driven earnings boom will continue to support the broad equity market," with a tactical focus on high-quality companies. Investors can take reassurance in steady credit availability supporting ongoing growth.
Upcoming Economic Data
Here's what investors will be keeping an eye on Tuesday.
- September's NFIB index of small business optimism data will be released by 6:00 a.m. ET.
- September's existing home sales data will be out by 10:00 a.m., and 2:00 p.m. ET will release September's monthly Treasury balance data.
Commodities, Crypto, And Global Equity Markets
Crude Oil WTI futures were trading lower in the early New York session by 1.78% to hover around $92.07 per barrel.
Gold Spot US Dollar rose 0.37% to hover around $4,187.39 per ounce. The U.S. Dollar Index spot was 0.27% lower at the 102.3150 level.
Meanwhile, Bitcoin (CRYPTO: BTC) was trading 0.20% lower at $83,333.99 per coin over the last 24 hours.
Asian markets traded mixed on Tuesday, as Hong Kong's Hang Seng, India's Nifty 50 and Australia's S&P/ASX 200 indices rose. While China's CSI 300, South Korea's Kospi and Japan's Nikkei 225 indices dropped. European markets were mostly higher in early trade.
