European Stocks Edge Higher Ahead of Active U.S. Earnings Slate

Frankfurt (April 25)  European stocks traded higher Tuesday as global markets continued to rally in the wake of Emmanuel Macron's victory in the first round of Sunday's presidential elections in France and improving corporate earnings, but momentum faded by mid-day as investors prepared for a slate of U.S. corporate earnings.

U.S. stocks are poised to extend yesterday's rally, which saw the Dow Jones Industrial Average add 216 points, or 1.05%, by the close of trading and the broader S&P 500 gain 25.46 point, or 1.08%. The Nasdaq added 75.3 points, or 1.24%, to end the session at a record high 5,983.82 points.

Early indications from U.S. futures prices suggest the Dow will gain around 37 points at the open, while the S&P is expected to add around 2 points.

Sentiment for the remainder of the week is likely to hinge upon the strength of corporate earnings reports, with around 190 S&P 500 companies reporting in what is expected to be the most active week in a least a decade. Caterpillar Inc.  (CAT) , DuPont (DD) , Lookheed Martin Corp. (LMT) , 3M (MMM) , McDonald's Corp. (MCD) , Coca-Cola Co. (KO) and Eli Lilly & Co. (LLY) are just handful of bluechip names publishing first quarter earnings this morning.

Investors are also primed for details on a comprehensive tax reform proposal from U.S. President Donald Trump, which he said in a Tweet last week would be available on Wednesday.

Source: TheStreet