US stocks set to edge lower; investors look ahead to earnings, Yellen – MarketWatch

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U.S. stock-index futures pointed to a modestly lower open on Tuesday, as analysts said that traders were holding off on making big bets ahead of key events later this week.

S&P 500 futures ESU7, -0.04% inched down by 2.35 points, or 0.1%, to 2,422.25, while Dow Jones Industrial Average futures YMU7, +0.00%  edged lower by 18 points, or 0.1%, to 21,341.00. Nasdaq-100 futures NQU7, -0.14%  gave up 8.75 points, or 0.2%, to 5,685.25.

“Forex and equities markets seem to have entered into another bout of wait-and-see trading as the moves of recent days begin to settle down,” said Richard Perry, a Hantec Markets analyst, in a note.

“This comes ahead of some key market-moving events towards the end of the week,” Perry added, referring to Federal Reserve chief Janet Yellen’s appearances before U.S. lawmakers on Wednesday and Thursday, as well as Friday’s releases covering inflation and retail sales.

See also: Is Janet Yellen still calling the tune in financial markets?

Trading may also be light ahead of the start to the next earnings season. Key companies, including such major banks as J.P. Morgan Chase & Co. JPM, -0.14% and Citigroup Inc. C, -0.19% are scheduled to report on Friday. By and large, financials are expected to post mediocre trading revenue this quarter.

On Monday, the S&P 500 SPX, -0.06%  and Nasdaq Composite COMP, -0.06%  gained 0.1% and 0.4%, respectively, while the Dow DJIA, +0.03%  finished lower by less than 0.1%.

Individual movers: Shares in PepsiCo Inc. PEP, -0.84%  traded higher by 0.6% in premarket action after the producer of snacks and soft drinks posted better-than-expected earnings before the open. Inc.’s stock AMZN, -0.50%  edged up 0.1% premarket, with the e-commerce king’s Prime Day promotion in full swing on Tuesday.

Amicus Therapeutics Inc. FOLD, +24.27%  surged 32% in heavy premarket trading after the Food and Drug Administration cleared the company to submit a new drug application for its Fabry disease treatment.

Halcon Resources Corp. HK, +40.58%  soared 49% before the bell after it agreed to sell its Williston Basin assets to a unit of Bruin E&P Partners for $1.4 billion in cash.

See: 6 money-saving tips for Amazon Prime Day—even if you’re not a member

And read: Amazon is taking away brands’ power, throwing another industry into turmoil

Other markets: Most Asian markets closed with gains on Tuesday, while European stocks SXXP, -0.39% were largely lower. Oil futures CLQ7, -0.32%  moved down after Monday’s rally. Gold futures GCQ7, -0.16%  also slipped, and a key dollar index DXY, +0.05% inched higher.

Economic news: A June reading on small-business sentiment arrived before the opening bell, showing a decline. It’s the fifth month in a row without an increase.

At 10 a.m. Eastern, May figures for job openings and wholesale inventories are expected to arrive.

Check out: MarketWatch’s Economic Calendar

On the Fed front for Tuesday, Fed Gov. Lael Brainard is due to give speech on monetary policy at 12:30 p.m. Eastern at a New York Fed conference. At 1:20 p.m. Eastern, Minneapolis Fed President Neel Kashkari is scheduled to take part in a Q&A at the Minnesota Women’s Economic Roundtable.

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