US Stock Market Live Updates: US stock futures rise as oil falls ahead of Fed decision
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Dow Jones | Nasdaq | Stock Market Live: US stocks open higher on Tuesday as easing oil prices support risk appetite ahead of key corporate earnings and the Federal Reserve’s interest-rate decision this week. The S&P 500 and Nasdaq gain at the open, while the Dow Jones slips 0.16%.
US stocks open higher on Tuesday as easing oil prices support risk appetite ahead of a busy week for markets, with investors tracking key corporate earnings and the Federal Reserve’s interest-rate decision. The S&P 500 and Nasdaq gain at the open, while the Dow Jones slips.
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Global bond issuance is projected to grow by just 2.7% next year, marking its slowest pace in five years according to S&P Global Ratings. High interest rates and rising geopolitical tensions in the Middle East are expected to temper borrowing, sharply cooling down the market after a strong 12.2% growth rate in 2026.
Despite the broader deceleration, heavy funding needs remain as tech companies continue financing massive artificial intelligence investments and governments manage rising debt. While China's market and strong investor demand provide some support, the clash between high interest rates and huge capital needs will test borrowers in the coming year.
JetBlue Airways stock jumped over 12% on Tuesday as management worked to reassure investors about its financial stability, despite posting a larger loss than expected. Surging fuel costs driven by the war in Iran have hammered airline margins and slashed JetBlue's market value, but investors took comfort in its $2.2 billion liquidity cushion and $2.8 billion in unencumbered aircraft assets.
The carrier also raised its full-year seat revenue forecast on strong ticket pricing and growth in key markets. While rising fuel prices remain a major drag on profitability, the update helped calm fears following a severe selloff in JetBlue's shares and bonds last week.
Read more: JetBlue Airways shares rise over 12%
The S&P 500 and the Nasdaq opened higher on Tuesday as easing oil prices supported risk appetite ahead of a raft of key corporate earnings and the Federal Reserve's interest-rate decision this week.
Read more: US stock edge higher
- Brian Mulberry, chief market strategist at Zacks Investment Management
Copper gained on Tuesday as a recovery in AI stocks boosted market sentiment and underscored long-term infrastructure demand. Strong physical demand in China, highlighted by record-high import premiums and dropping inventory, helped push prices higher despite rising oil costs and a stronger dollar.
Supply tightness and regional inventory bottlenecks provided additional support across the metals market. Most base metals followed copper's upward trend, though gains remained somewhat capped by currency pressures.
The US dollar strengthened against major currencies as investors braced for upcoming policy decisions from the Federal Reserve, European Central Bank, and Bank of Japan. A recovery in tech stocks helped stabilize market sentiment, easing safe haven demand for the yen and supporting the dollar ahead of expected rate holds.
Meanwhile, the euro remained under pressure due to high energy costs, political uncertainty in France, and slowing bank lending. Investors are also watching key corporate tech earnings and interest rate announcements from Canada and New Zealand.
Tesla shares rose more than 1% after gaining over 5% in the previous session. Royal Caribbean jumped 4.6% after beating third-quarter profit estimates, while Whirlpool fell 8% after reporting a quarterly loss and missing revenue expectations. Investors also looked ahead to the November 3 US midterm elections.
Concerns over debt-funded AI spending continued to weigh on technology stocks amid higher borrowing costs. Meta remained flat after raising its planned equity fundraising to $97.5 billion to fund AI expansion. The plan also drew potential interest from Nvidia, AMD and Broadcom.
Investors focused on upcoming results from Alphabet, Microsoft and Amazon, with earnings expected to offer clues on whether heavy AI investments were translating into stronger growth. Jefferies said earnings growth for the Magnificent 7 could trail the rest of the S&P 500.
Brent crude fell for a second straight session in volatile trading, although prices remained near their highest level since late April. Investors assessed inflation risks and the impact of the ongoing US-Iran conflict. Markets priced in at least two more rate hikes by mid-2027 as inflation remained elevated.
US stock futures edged higher on Tuesday as oil prices extended their decline, giving investors some relief ahead of the Federal Reserve’s interest-rate decision. Dow futures rose 0.32%, while S&P 500 and Nasdaq 100 futures gained 0.19% and 0.27%, respectively. The Fed was widely expected to keep rates unchanged on Wednesday.