Stock futures fall after back-to-back gains on Wall Street

GE shares rise on better-than-expected earnings

General Electric traded more than 2% higher in the market after the industrial giant posted quarterly results that beat analysts’ expectations.

GE earned $1.24 per share on revenue of $21.79 billion for the previous quarter. Analysts had expected earnings of $1.13 per share on revenue of $21.59 billion, according to Refinitiv.

“In 2022 marked the beginning of a new era for GE. We successfully launched GE HealthCare, delivered strong financial performance, made significant operational progress and continued our strong commitment to our customers. “Thanks to the high-quality work of our team, GE ended the year with solid revenue growth and margin expansion,” CEO Larry Culp said in a statement.

— Fred Imbert

AMD is down after Bernstein’s downgrade

AMD shares fell more than 2% after Bernstein downgraded the semiconductor maker to market perform from outperform. The firm cited worsening trends in the personal computer market for the reduction.

“It has to be said that the PC environment has gotten a lot worse since then,” Bernstein said in a note to clients. “And our belief that AMD would prove to be relatively more resilient to channel degradation has been sadly misplaced, and we’ve been increasingly cautious about potential PC dynamics in recent months.”

— Alex Haring

European markets are steady as investors digest key PMIs

European markets were mixed on Tuesday with investors reviewing the latest data on eurozone purchasing managers’ indices in January.

Pan-European Stokk 600 index moved partially above the flat line in early trade, with retail stocks adding 0.7% while oil and gas stocks fell 0.6%.

The S&P Global eurozone composite PMI reached 50.2 in January, up from 49.3 in December and ahead of the consensus forecast of 49.8.

CNBC Pro: Goldman Sachs Asset Management singles out part of US market with ‘big opportunities’

A Goldman Sachs Asset Management strategist has named a segment of the market that could be poised for a comeback this year.

James Ashley, head of international market strategy at Goldman Sachs Asset Management, also pointed to research showing that these types of companies tend to outperform when inflation is high but falling.

CNBC Pro subscribers can read more here.

— Ganesh Rao

Zions shares fall after earnings

Actions from Zions Bancorp fell more than 2% despite the regional bank beating estimates for fourth-quarter earnings. Zions reported $1.84 in earnings per share, above the $1.65 expected by analysts, according to StreetAccount. Net interest income also beat estimates.

Non-interest income, however, was lower than expected, and deposits fell 13% year-over-year to $71.7 billion.

Shares of Zion rose 2.27% in regular trading on Monday before its earnings were announced.

— Jesse Pound

Stocks need to reach this key level to potentially be considered recovered, Dawson says

Stocks rose on Monday, but not high enough to be considered a true market rally, according to NewEdge Wealth’s Cameron Dawson.

“We have to break through the most critical level of 4,100,” Dawson said Monday on CNBC’s “Closing Bell: Overtime.” That’s because 4,100 is the S&P 500’s 65-day high.

The S&P 500 never reached a key moving level in 2022 because it was in a downtrend, Dawson said. If the stock breaks this level, it may indicate that the rally has the potential to transition into a new bull market cycle.

Technicals and positioning can only get stocks so far, she added, before a fundamental shift is needed to really give stocks momentum.

“We would need to see a change in the fundamentals to really think this rally is going to continue,” she said.

She warned that gains in stocks are likely to remain limited until the Federal Reserve fully turns around and re-stimulates the US economy.

“It is unlikely that we can return to pre-pandemic multiples without the Fed’s help,” she said.

If stocks are able to rally and break the 65-day high, that would also likely reduce the likelihood of the S&P 500 retesting the October lows, Dawson said.

– Carmen Rajnik

Stock futures open little changed

Futures were little changed on Monday night after solid gains for stocks during regular trading hours. There were no reports of big capital gains after the bell to trigger big moves in the futures market.

— Jesse Pound

Nasdaq, chip stocks led the way on Monday

Stocks enjoyed a big rally on Monday. Here’s a look at some of the key numbers from the trading session.

  • The Dow gained 254 points, or 0.76%, to close at 33,629.56.
  • The S&P 500 gained 47 points, or 1.19%, to close at 4,019.81.
  • The Nasdaq Composite gained 224 points, or 2.01%, to close at 11,364.41.
  • Nvidia had the biggest impact on the Nasdaq, adding 36 points.
  • VanEck Semiconductor ETF (SMH) rose 4.72% for its best day since November 30.

— Jesse Pound, Christopher Hayes

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