U.S. stock futures rose on Tuesday, Oct. 6, as Treasury yields eased from their highest levels since 2002 and oil prices declined. Technology shares advanced in premarket trading after Monday’s record close for the Nasdaq Composite. The S&P 500 ended that session 0.6% below its mid-August peak, leaving the benchmark close to a new closing high.
At 8:20 a.m. ET, Dow futures gained 334 points, or 0.65%. S&P 500 futures rose 39.5 points, or 0.5%, while Nasdaq-100 futures added 205 points, or 0.65%. All three contracts pointed to a higher opening following Monday’s gains across Wall Street’s major indexes.
Later premarket figures showed larger advances. S&P 500 futures climbed about 0.5%, Dow futures gained 351 points, or 0.7%, and Nasdaq-100 futures rose 0.6%. These readings followed the earlier gains as trading continued before the opening bell.
Nvidia and Microsoft helped lift the Nasdaq to its record on Monday. Investors have bought technology shares in recent weeks as companies expand spending on artificial intelligence. The rally has carried the S&P 500 closer to its previous peak even as long-term borrowing costs have risen.
The benchmark 10-year Treasury yield fell five basis points to 5.256% on Tuesday morning. The 30-year yield declined more than three basis points to 5.625%. Both had reached levels last seen in 2002 during Monday’s session.
The retreat followed six weeks of volatile bond trading. Lisa Shalett, chief investment officer at Morgan Stanley Wealth Management, cited economic growth, high oil prices and a possible change in the Federal Reserve’s policy framework among the factors behind those moves.
“Nevertheless, while intraday implied volatility has risen, the six-week stretch has not reached the extremes that catalyzed the 2022 equity bear market,” Shalett wrote in a client note.
Brent crude traded roughly 2% lower near USD 98 a barrel, while U.S. West Texas Intermediate futures fell about 2% to around USD 87. Prices declined as traders assessed stronger Middle Eastern exports and emergency supplies against continuing threats to shipping.
Gulf oil shipments excluding Iran recovered to more than 81% of their prewar levels in September. Meanwhile, the G7 agreed to release 100 million barrels of crude and diesel from emergency reserves. Saudi Arabia also increased flows through its East-West Pipeline following a drone attack last month.
The supply recovery came as attacks and regional fighting kept transport routes under pressure. Traders continued to monitor shipments through the Strait of Hormuz, where Iran has attempted to restrict flows through attacks on tankers.
AMD shares gained nearly 2% in premarket trading, while Nvidia and Broadcom advanced around 1%. Citi raised its AMD price target to USD 800 from USD 575. The revised target stood about 27% above Monday’s closing price.
Citi analyst Atif Malik linked the increase to rising demand for central processing units as companies develop AI agents. “In Agentic AI, CPUs have become the new bottleneck,” Malik said. He expects the CPU market to reach USD 300 billion by 2030.
Separately, Alphabet shares rose 0.6% after Google announced a 20-year nuclear power agreement with Constellation Energy. Constellation shares gained 6%. Google will purchase 890 megawatts of nuclear energy under the agreement as it expands its AI operations.
Investors await Wednesday’s release of minutes from the Federal Reserve’s September meeting, when policymakers raised interest rates. The document will provide details of their discussions about inflation, growth and the decision to increase borrowing costs.
Constellation Brands and Lamb Weston were scheduled to report earnings on Tuesday. Reports from major U.S. banks begin next week. According to LSEG data cited by Reuters, analysts expect S&P 500 third-quarter earnings to increase more than 30% from a year earlier.
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