US stock futures traded mixed on Tuesday as investors monitored corporate earnings and awaited the outcome of the US midterm elections. Apple shares came under pressure in premarket trading, falling 4.5% after the technology giant warned that rising memory-chip costs could weigh on its holiday-quarter profit margins.
At around 5:06 am ET, Dow E-mini futures were down 219 points, or 0.42%, while S&P 500 E-mini futures edged up 0.02%. Nasdaq-100 futures gained 0.46%, indicating some resilience in technology stocks despite recent losses.
Apple’s decline followed its latest earnings report, which showed stronger-than-expected quarterly results but raised concerns over rising memory costs. The company cautioned that higher component prices could put pressure on gross margins during the crucial holiday shopping period.
The broader technology sector remained under scrutiny as investors questioned whether heavy investments in artificial intelligence would generate sufficient returns. The Nasdaq-100 had closed more than 10% below its record high on Monday, entering correction territory.
Other technology stocks also witnessed movement in premarket trading. Palantir shares dropped despite the company issuing a stronger-than-expected revenue outlook for the fourth quarter. Meanwhile, Nvidia, AMD, Marvell Technology and Intel gained, offering some support to the technology-heavy Nasdaq futures. AMD was also in focus ahead of its quarterly earnings announcement.
Investors were additionally keeping a close watch on the US midterm elections, which will determine the balance of power in Congress for the remainder of President Donald Trump’s term. Polls and analysts have pointed to the possibility of Democrats gaining control of the House of Representatives, while the Senate race remains uncertain.
Market participants are assessing how the election outcome could influence government spending, fiscal policy and the regulatory environment. Analysts have also noted that political uncertainty could continue to influence investor sentiment.
Meanwhile, crude oil prices moved higher after declining sharply in the previous session, with developments surrounding the US-Iran conflict adding to concerns over energy supply disruptions.
