Investing.com Update

US stock futures pointed slightly lower as traders assess the sustainability of the post-election equity rally. The global cryptocurrency market's valuation soared above $3 trillion for the first time since 2021, fueled by optimism surrounding potential friendly regulatory changes from the Trump administration for the crypto sector. Additionally, SoftBank Group reported a profit in the second quarter.

1. Futures Slip After Stocks Extend Post-Election Rally

US stock futures saw a slight downturn on Tuesday, as investors evaluated policies from the incoming Trump administration.

• Dow futures: down 0.2% (69 points)
• S&P 500 futures: down 0.1% (8 points)
• Nasdaq 100 futures: down 0.1% (19 points)

Wall Street's main averages had risen previously, continuing a rally following Donald Trump's presidential election victory. Traders are optimistic about tax cuts and relaxed regulations under Trump’s second term.

Tesla shares surged as CEO Elon Musk supports Trump, while banking stocks like Goldman Sachs and JPMorgan Chase also gained. Bitcoin reached a new all-time high amid expectations of favorable crypto regulations from Trump.

2. Earnings Ahead

The quarterly earnings season is winding down, but some key reports are still expected.

• Home Depot (NYSE: HD) will report Tuesday, with interest in consumer spending on home improvements.
• Shopify (NYSE: SHOP) plans to release third-quarter results, with a positive outlook due to AI-enhanced tools.
• Spotify (NYSE: SPOT) is set to announce its numbers after market close, having previously exceeded profit expectations.

3. Global Crypto Market Value Rises Above $3 Trillion

The global cryptocurrency market exceeded $3 trillion in valuation for the first time in three years, according to CoinGecko.

• This increase reflects a 25% rise since Trump's election victory, with expectations of supportive crypto policies.
• Bitcoin saw a record high of $89,436.1, gaining around 9.3% to $88,854.5.

4. SoftBank Swings to Profit Amid Jump in Tech Valuations

SoftBank Group Corp. reported a net profit of 1.18 trillion yen ($7.7 billion) for the quarter ending September 30, outperforming estimates significantly.

• The previous year’s profit was a loss of 931 billion yen.
• SoftBank's tech portfolio saw a rebound in valuations despite high interest rates, with a gain driven by firms like Didi and Coupang.

5. Oil Steadies

Oil prices steadied Tuesday following previous declines influenced by China's latest stimulus measures.

• By 03:25 ET, Brent crude was up 0.3% at $72.03 per barrel.
• US crude (WTI) rose 0.3% to $68.22 per barrel, recovering from a 5% drop in recent trading sessions.

Concerns linger over limited direct economic support from China’s $1.4-trillion debt package, and tropical storm Rafael is losing strength in the Gulf of Mexico, reducing fears of supply disruptions.