Investing.com Report

US stock futures point mostly higher after declines on Wednesday, amid rising yields and falling megacap tech shares. Tesla's earnings boost its stock, while Boeing workers reject a revised pay offer.

1. Futures Broadly Higher

US stock futures are mostly up as investors process quarterly earnings and climbing Treasury yields. By 03:39 ET (07:39 GMT), Dow futures were unchanged, S&P 500 futures rose 22 points (0.4%), and Nasdaq 100 futures increased by 154 points (0.8%). The Nasdaq Composite saw declines from megacap tech stocks, including Nvidia and Apple. Higher US Treasury yields, reaching three-month highs, created concerns that strong economic data could lead to slower interest rate cuts by the Federal Reserve.

2. Tesla Shares Surge on Upbeat Earnings and Outlook

Tesla shares surged after it reported better-than-expected third-quarter profits, with adjusted net income up 8% year-on-year to $2.5 billion and revenue also rising to $25.2 billion. The company forecasted slight growth in vehicle deliveries for 2024, buoyed by potential cost cuts and reduced interest rates that could increase sales by 20% to 30% next year.

3. Boeing Workers Reject Latest Compensation Offer

Striking Boeing workers rejected a new contract offer, prolonging labor disruptions that complicate CEO Kelly Ortberg’s plans for the company. 64% of union members voted against the offer, which included a 35% pay raise over four years. Following this rejection, union leaders are prepared to re-enter negotiations with Boeing. The firm is facing scrutiny over recent safety incidents and has reported a widened loss of $6.17 billion in Q3.

4. Trump Opens Narrow Lead Over Harris – WSJ Poll

Donald Trump has gained a slight edge over Kamala Harris in the presidential race, according to a Wall Street Journal poll where Trump leads by 2 points (47% to 45%). While views of Trump have improved, Harris's favorability has declined. Trump is also trusted more on economic stewardship according to another poll, indicating growing support as the election approaches.

5. Crude Rises

Oil prices have rebounded due to concerns that conflict escalation in the Middle East may impact supply. As of 03:39 ET, Brent crude rose 1.2% to $75.88 per barrel, and U.S. crude (WTI) climbed 1.4% to $71.76. Recent Israeli airstrikes on Damascus highlight rising tensions in the region, adding to the instability that affects oil prices. Oil has risen nearly 4% this week, offsetting previous losses related to Chinese demand worries and Middle Eastern conflicts.