2/5

SPLG Flat as Strong Earnings Reports Buoy S&P 500 Futures

The S&P 500 futures are buoyed by strong earnings reports as the fourth-quarter reporting season continues. According to a BofA Global Research report, U.S. investment-grade issuers have demonstrated a +14.2% y/y earnings growth, excluding the Energy and Finance sectors. Earnings have surpassed expectations by +5.5%, a notable improvement over the previous quarter's +2.5% surprise. The Technology, Banks, and Health Care sectors are leading this positive trend, with revenue surprises also exceeding last quarter's figures. These results highlight the resilience of U.S. corporates in a challenging economic environment, contributing to the positive sentiment in the market.

The SPDR Portfolio S&P 500 ETF (SPLG) closed at $71.09, up 0.42% from the previous close, and is currently trading at $71.10 as of 16:40 on Wednesday, February 5.