5 things to know before the stock market opens Tuesday

Here are the most important news, trends and analysis that investors need to start their trading day:

U.S. stock futures were higher Tuesday morning, as Wall Street looked to build on Monday’s record close for the Dow Jones Industrial Average and S&P 500. The Nasdaq was the outperformer Monday, rising 0.9%, with a lift from Tesla’s strong session. The tech-heavy index finished 1.15% off its record high. The blue-chip Dow has risen in four of its past five sessions, while the broad S&P has posted eight positive sessions in its past nine.

The yield on the benchmark 10-year Treasury fell slightly Tuesday morning, trading around 1.618%. On Monday, the 10-year yield got as high as 1.673%, but retreated to slightly above 1.63%.

It’s a busy week for technology earnings, including after Tuesday’s market close as heavyweights Alphabet and Microsoft are scheduled to report. Advanced Micro Devices, which can offer insight into the global semiconductor shortage, and Twitter also are set report after the bell.

Shares of Facebook were higher by about 2% in premarket trading, as investors cheered the social media company’s better-than-expected third-quarter earnings and its decision to add $50 billion to its stock repurchase plan. While Facebook’s revenue fell short of estimates, per-share earnings of $3.22 topped projections of $3.19, according to Refinitiv.

Facebook’s quarterly results come against the backdrop of a large, ongoing document dump from whistleblower Frances Haugen, a former product manager at the company. Multiple news organizations have published stories on the documents in recent days, showing how Facebook fails or struggles to address the harm it knows its apps and services can cause. However, Facebook CEO Mark Zuckerberg defended the social media platform on Monday’s earnings call, contending the leak is painting “a false picture of our company.” 

Tesla reached $1 trillion in market capitalization Monday, after shares of the electric vehicle maker surged 12.66% to close at $1,024.86. The stock was down by less than 1% in Tuesday’s premarket. Monday’s big move followed news that car rental company Hertz is ordering 100,000 vehicles from Tesla by the end of 2022. It also came after Morgan Stanley auto analyst Adam Jonas hiked his price target on Tesla to $1,200 from $900.

Tesla, by far the world’s most valuable auto maker, joins the likes of Apple, Amazon and Microsoft in the $1 trillion market-cap club.