Stock Market Update

Equity futures point to a flat opening after yesterday's action saw the major averages capture gains of 1.0% or wider across the board. 

While the information technology sector paced the early advance, all nine S&P 500 sectors that closed in positive territory also finished at least 1.0% higher.

The market is currently receiving a sizable batch of earnings reports that includes some notable blue chip names. So far, this morning's reports have largely come in better than expected, helping drive futures off of their early morning session lows. 

Macro developments are quiet this morning, with some more amicable commentary from President Trump towards China adding to yesterday's positive sentiment. There are no consequential economic data releases slated for today.

In corporate news:

• Apple's (AAPL 261.70, -0.54, -0.2%) target price was raised to $279 from $266 at Goldman Sachs. The stock closed at a record high yesterday after reports of strong iPhone 17 sales. 
• Coca-Cola (KO 70.10, +1.66, +2.4%) beat EPS expectations by $0.04, reported revenues in-line, and guided FY25 EPS in-line. 
• General Motors (GM 63.18, +5.18, +8.9%) beat EPS expectations by $0.51, beat revenues, and raised its FY25 EPS and EBIT guidance. 
• 3M (MMM 159.00, +4.22, +2.7%) beat EPS expectations by $0.12, beat revenue expectations, and raised its FY25 EPS outlook. 
• Zions Bancorp (ZION 52.70, +0.72, +1.4%) beat EPS expectations by $0.02. Excluding the previously disclosed $50 million charge-off, the company said the remaining net charge-offs were very benign at $6 million.

Reviewing overnight developments:

Equity indices in the Asia-Pacific region climbed on Tuesday while India's Sensex closed early for a holiday. Japan's Nikkei: +0.3%, Hong Kong's Hang Seng: +0.7%, China's Shanghai Composite: +1.4%, India's Sensex: +0.1%, South Korea's Kospi: +0.2%, Australia's ASX All Ordinaries: +0.7%.

In news:

• Sanae Takaichi was elected prime minister by Japan's parliament, which was expected.She named Satsuki Katayama as her administration's finance minister.
• Australian miners had a strong showing after Australia's Prime Minister Albanese visited the White House and received a commitment for a U.S. investment in a gallium refinery.
• South Korea's exports through the first 20 days of October were down 8% yr/yr, though chip exports were up 20%.

In economic data:

• New Zealand's September trade deficit NZD1.355 bln (last deficit of NZD1.235 bln). September Credit Card Spending 0.2% yr/yr (last 3.3%)

Major European indices trade near their flat lines while Italy's MIB (+1.0%) outperforms with leadership from Bper Banca after the lender reached a deal with a counterparty to sell derivatives offering exposure to the bank's capital. STOXX Europe 600: +0.2%, Germany's DAX: +0.1%, U.K.'s FTSE 100: +0.3%, France's CAC 40: +0.5%, Italy's FTSE MIB: +1.0%, Spain's IBEX 35: +0.1%.

In news:

• HSBC named a new CEO for its U.K. unit.
• British Chancellor Reeves repeated her pledge to meet fiscal rules while lowering the debt and deficit.

In economic data:

• U.K.'s September Public Sector Net Borrowing GBP20.20 bln (expected GBP20.70 bln; last GBP18.00 bln)
• Swiss September trade surplus CHF4.073 bln (expected surplus of CHF5.22 bln; last surplus of CHF3.876 bln)