By Liz Moyer
Investing.com -- Stocks rallied on Tuesday and now investors will wait to see whether the market can sustain another upward swing as corporate earnings continue to pour out.
More than half of the S&P 500 companies to report so far have beaten expectations. A slew of earnings left to come this week from a wide range of companies, including Tesla late Wednesday has investors wondering what executives will say about the outlook moving into the second half of the year.
Also on investors' minds, the Federal Reserve's policy meeting, which kicks off later this month. Generally speaking, people expect the Fed will raise interest rates another 0.75 percentage point, like it did in June, as it tries to tame inflation. Already gasoline prices are down from the $5 a gallon they reached in June, and home sales are cooling off, two data points that show inflation may be easing.
Here are three things that could affect markets tomorrow:
1. Existing home sales
New home sales fell in June to their lowest point since September. Now, existing home sales data is due. It's expected out at 10 AM ET on Wednesday. Analysts expect an annualized number of 5.38 million for June, which compares to 5.4 million in the prior month.
2. Tesla earnings
Elon Musk's Tesla Inc (NASDAQ:TSLA) is expected to report earnings on Wednesday. Analysts expect earnings per share of $1.86 on revenue of $16.5 billion.
3. Abbott Labs
The pharmaceutical company Abbott Laboratories (NYSE:ABT), which makes one of the at-home rapid Covid tests and baby formula among other items, is expected to report EPS of $1.13 on revenue of $10.3 billion.