by Traders work on the floor of the New York Stock Exchange during morning trading in New York.
Michael M. Santiago | Getty Images
THE Nasdaq Composite rose on Tuesday and hit a new record high as investors prepared for the release of major company results, including reports from notable tech names.
The tech-heavy Nasdaq rose 0.7%. The S&P 500 added 0.3%. Meanwhile, the Dow Jones Industrial Average underperformed, down 27 points, or 0.06%.
Alphabet, Instant, Reddit, Chipotle And Advanced microdevices are all expected to release their quarterly results after the market closes. Technology heavyweights Metaplatforms And Microsoft are expected to submit their report on Wednesday, while Apple rises on Thursday.
Ahead of their earnings release, shares of Meta and Alphabet rose more than 1% on Tuesday.
“It’s an expensive market right now, and so I think investors need an acceleration in earnings growth in order to justify these higher PE ratios,” said Sam Stovall, chief investment strategist at CFRA Research .
This will be the busiest week of the earnings season, with more than 150 S&P 500 companies expected to have reported results by Friday’s close.
Traders also continued to monitor Treasury yields, as the benchmark 10-year Treasury yield rose to its highest level since July.
BTIG’s Jonathan Krinsky believes the market will be even more choppy in the short term, with just five trading days until the US presidential election.
“While we are not looking for a bear market, we remain confident that we are prepared to experience some downward volatility in the coming weeks,” Krinsky wrote in a note.
The major averages come out of a winning session. Notably, the Dow Jones ended a five-day losing streak, while the tech-heavy Nasdaq notched its eighth positive session out of the last nine.
