Investing.com - U.S. stocks opened higher on Tuesday, as disappointing euro zone data sparked fresh expectations for a rate cut by the European Central Bank, while investors eyed the release of upcoming U.S. home sales data.
During early U.S. trade, the Dow Jones Industrial Average advanced 0.62%, the S&P 500 index gained 0.67%, while the Nasdaq Composite index climbed 0.62%.
Sentiment was hit after data showed that Germany’s manufacturing PMI fell to 47.9 from 49.0 in March, well below the 50 level which separates contraction from expansion, while the euro zone’s manufacturing PMI ticked down to 46.6 from 46.8 in March, worse than expectations for an unchanged reading.
Earlier Tuesday, a report showed that the preliminary reading of China’s HSBC manufacturing purchasing managers’ index was 50.5 for April, down from a final reading of 51.6 in March.
The weak data appeared to point to a slower rate of growth in the manufacturing sector of the world’s second largest economy in the second quarter.
Among earnings, Netflix soared 24.84% as it reported after the closing bell on Monday better-than-expected earnings, thanks to more online subscribers and the introduction of a service that will allow users to stream four movies at the same time.
Adding to gains, Texas Instruments surged 2.21%, after saying that first-quarter earnings and revenue slightly exceeded expectations as demand for its chips improved.
Financial stocks were also broadly higher, as shares in Goldman Sachs gained 0.59% and JP Morgan jumped 0.93%, while Citigroup and Bank of America rallied 0.91% and 2.39% respectively.
Elsewhere, Du Pont and United Technologies both posted earnings that beat market expectations. Du Pont shares slipped 0.18% while United Technologies added 0.12% after the two companies disappointed on top-line revenue.
Meanwhile, Microsoft edged down 0.16% amid reports ValueAct Capital took a USD2 billion stake in the company.
Other stocks in focus included tech giant Apple, due to report earnings after the closing bell.
Across the Atlantic, European stock markets were sharply higher. The EURO STOXX 50 surged 2.47%, France’s CAC 40 rallied 2.88%, Germany's DAX gained 2.05%, while Britain's FTSE 100 jumped 1.74%.
During the Asian trading session, Hong Kong's Hang Seng Index tumbled 1.08%, while Japan’s Nikkei 225 Index slipped 0.29%.
Later in the day, the U.S. was to release private sector data on existing home sales.
During early U.S. trade, the Dow Jones Industrial Average advanced 0.62%, the S&P 500 index gained 0.67%, while the Nasdaq Composite index climbed 0.62%.
Sentiment was hit after data showed that Germany’s manufacturing PMI fell to 47.9 from 49.0 in March, well below the 50 level which separates contraction from expansion, while the euro zone’s manufacturing PMI ticked down to 46.6 from 46.8 in March, worse than expectations for an unchanged reading.
Earlier Tuesday, a report showed that the preliminary reading of China’s HSBC manufacturing purchasing managers’ index was 50.5 for April, down from a final reading of 51.6 in March.
The weak data appeared to point to a slower rate of growth in the manufacturing sector of the world’s second largest economy in the second quarter.
Among earnings, Netflix soared 24.84% as it reported after the closing bell on Monday better-than-expected earnings, thanks to more online subscribers and the introduction of a service that will allow users to stream four movies at the same time.
Adding to gains, Texas Instruments surged 2.21%, after saying that first-quarter earnings and revenue slightly exceeded expectations as demand for its chips improved.
Financial stocks were also broadly higher, as shares in Goldman Sachs gained 0.59% and JP Morgan jumped 0.93%, while Citigroup and Bank of America rallied 0.91% and 2.39% respectively.
Elsewhere, Du Pont and United Technologies both posted earnings that beat market expectations. Du Pont shares slipped 0.18% while United Technologies added 0.12% after the two companies disappointed on top-line revenue.
Meanwhile, Microsoft edged down 0.16% amid reports ValueAct Capital took a USD2 billion stake in the company.
Other stocks in focus included tech giant Apple, due to report earnings after the closing bell.
Across the Atlantic, European stock markets were sharply higher. The EURO STOXX 50 surged 2.47%, France’s CAC 40 rallied 2.88%, Germany's DAX gained 2.05%, while Britain's FTSE 100 jumped 1.74%.
During the Asian trading session, Hong Kong's Hang Seng Index tumbled 1.08%, while Japan’s Nikkei 225 Index slipped 0.29%.
Later in the day, the U.S. was to release private sector data on existing home sales.