Stock futures rise slightly after S&P 500 slips from a record

Stock futures rose in overnight trading on Wednesday after the S&P 500 and Dow Jones industrials retreated from record highs.

Dow futures rose 50 points. S&P 500 and Nasdaq 100 futures rose 0.1%.

Investors waited for the first estimate of annual GDP growth for the third quarter from the Commerce Department. Economists polled by Dow Jones expected only a 2.8% increase as products remained stuck in normally crowded ports, employers struggled to find workers and consumers struggled with inflation.

On Wednesday, the Standard & Poor’s 500 Index fell 0.5% for its first day in three days as the rally in a strong earnings season began to wane. The Dow Jones excellent fell more than 250 points, falling for the first time in four days.

The major averages rose amid earnings momentum this month. The S&P 500 rose 5.6% in October, on track to record its best month since November 2020. The Dow Jones is up 4.9% this month, while the heavy Nasdaq Composite is up 5.5%.

Nearly 40% of S&P 500 companies reported earnings, and more than 80% of them beat Wall Street expectations, according to CNBC calculations. The S&P 500 companies are expected to post a profit of about 37.6% in the third quarter.

“Earnings helped and remember that US reports to date have been better than the long-term average in terms of impulses,” Jim Reed, head of thematic research at Deutsche Bank, said in a note. “It’s still more true of some of the bleak stagflation stories seen during September and early October that may have helped fuel the recovery.”

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