Investing.com– U.S. stock index futures rose Tuesday, recovering to a degree after some bruising losses amid growing concerns over an economic slowdown.
at 05:15 ET (09:15 GMT), rose 85 points, or 0.2%, climbed 23 points, or 0.4%, and gained 55 points, or 0.3%.
Recession fears spark deep losses
Concerns over a drastic slowdown in economic growth, following a string of underwhelming purchasing managers index and labor market readings, saw Wall Street tumble from near record highs over the past two weeks.
Losses came to a head on Monday, with the sliding 3% and the tumbled 3.4%, both indexes falling to three-month lows. The fell 2.6%% to a two-month low.
The Dow, S&P 500 and Nasdaq are down 5%, 6% and 8% respectively in three days, their worst 3-day performance in more than two years.
Weak economic data fueled fears that the Federal Reserve had kept interest rates high for too long, and that any cuts by the central bank now would be insufficient in helping the economy gain a soft landing.
Still, markets did increase their expectations for a 50 basis point cut in September, and were pricing in at least 100 bps in rate cuts this year, showed.
Q2 earnings set to continue
Some major earnings are still due in the coming days.
Industrial bellwether Caterpillar (NYSE:) and ride sharing giant Uber Technologies (NYSE:) are set to report later in the session, and will give more insight into the health of manufacturing and the consumer. .
Super Micro Computer (NASDAQ:) is also due on Tuesday, and is set to offer more cues on demand from the artificial intelligence industry.
Media giants Walt Disney (NYSE:) and Warner Bros Discovery (NASDAQ:) are due on Wednesday.
Additionally, Palantir Technologies (NYSE:) surged 10% premarket on strong quarterly results and a guidance lift, while Lucid Group (NASDAQ:) rallied over 13% on better-than-expected revenue in the second quarter.
Crude edges higher after sharp losses
Crude prices edged higher Tuesday, bouncing after falling to eighth-month lows as traders took advantage of battered levels to restock and as MIddle East tensions remain.
By 05:15 ET, the U.S. crude futures (WTI) climbed 0.2% to $73.06 a barrel, while the Brent contract rose 0.1% to $76.33 a barrel.
Concerns over an escalation in the Israel-Hamas war, especially after Iran vowed retaliation over the killing of a Hamas leader in Tehran, have provided an element of support for the oil markets.
However, sentiment remains very fragile amid fears slowing economic growth will dent demand, especially as underwhelming U.S. labor market readings ramped up concerns over a potential recession in the country.
(Ambar Warrick contrbuted to this article.)
