Futures rise as Apple ekes out gains as earnings gather steam

[July 19, 2022]  (Reuters) - U.S. stock index futures rose on Tuesday as Apple shares edged higher after sharply dropping in the previous session, while investors focused on another round of earnings to gauge the strength of corporate America.

Shares of the iPhone maker rose 0.3% in premarket trading on Tuesday, along with other high-growth stocks including Tesla Inc, Microsoft Corp, Meta Platforms Inc and Amazon.com Inc.

Apple fell 2% and dragged U.S. stocks lower on Monday after a report that the company will slow hiring and spending growth next year.

Shares of Boeing Co added 2.1% premarket on plans by private equity firm 777 Partners to buy up to 66 more Boeing 737 MAX jets.

As second-quarter earnings season officially kicked off, analysts now expect aggregate year-on-year S&P 500 second-quarter profit growth of 6%, down from the 6.8% estimate at the beginning of the quarter, according to Refinitiv data.

Johnson & Johnson fell 0.4% after the drugmaker trimmed its full-year adjusted profit forecast on a stronger dollar.

IBM Corp, which reported after close on Monday, also warned of about $3.5 billion hit due to a stronger dollar. Its shares fell 5.8%.

Hasbro Inc posted a 10% rise in quarterly adjusted earnings, but shares of the toymaker fell 1.2%.

At 6:53 a.m. ET, Dow e-minis were up 198 points, or 0.64%, S&P 500 e-minis were up 32 points, or 0.83%, and Nasdaq 100 e-minis were up 101 points, or 0.85%.

(Reporting by Shreyashi Sanyal in Bengaluru; Editing by Sriraj Kalluvila)

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