U.S. stock index futures rose on Tuesday after strong quarterly results from bellwethers Apple and Caterpillar pointed to a solid earnings season.
Apple Inc's profits and sales streaked past Wall Street forecasts on Monday as sales of iPhones and Mac personal computers hit quarterly records, sending its shares to all-time highs after hours on Monday. The stock jumped 6.7 percent to $202.62 in premarket trade.
U.S. machinery maker Caterpillar Inc posted stronger-than-expected quarterly earnings and raised its full-year forecast. Caterpillar shares jumped 5.9 percent to $61.25 in premarket.
DuPont Co
reported an 11 percent jump in third-quarter profit on Tuesday, topping estimates, but narrowed its earnings forecast for the year. The stock was up 2.8 percent to $35.58.Texas Instruments Inc recorded better-than-expected results on Monday, citing strong demand from the various industries that uses its chips. The shares rose 2.9 percent to $24.20 in light trading.
Drugmaker Pfizer Inc
said quarterly profit was up and beat estimates, while diversified U.S. manufacturer United Technologies Corp reported a drop in profit, but still beat estimates. Pfizer shares gained 3 percent to $18.51, while United Tech added 0.2 percent to $65.55.
Coca-Cola Co slipped 2.2 percent to $53.60 premarket after the soft drink maker reported adjusted third-quarter earnings that were a penny above expectations.
It is an earnings-driven market right now, said Andre Bakhos, president of Princeton Financial Group in North Brunswick, New Jersey.
As long as well perceived earnings continue to be reported, this will serve as fuel for the market.
S&P 500 futures rose 5.8 points and were above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures added 51 points, while Nasdaq futures gained 16.50 points.
Adecco SA , the world's largest staffing company, agreed to buy American rival MPS Group Inc for $1.3 billion, boosting its high-margin and more recession-resistant professional staffing business. MPS shares surged 21.5 percent $13.53.
IMS Health Inc , which provides data on prescription drug sales, is in talks with private equity firms about selling the company, sources said Monday.
Boeing Co fell 2 percent to $52.38 premarket after the airplane maker was downgraded to underweight by Morgan Stanley. The firm said shares may face downward pressure on likely poor aircraft order demand.
Economic data for Tuesday includes U.S. housing starts data for September as well as U.S. producer prices data, both due at 8:30 a.m. EDT <1230 GMT>.
(Reporting by Chuck Mikolajczak; editing by Jeffrey Benkoe)