U.S. stocks muted; Netflix earnings in the spotlight

Investing.com-- U.S. stocks traded in a narrow range Tuesday, consolidating after recent gains as investors digested a slew of quarterly corporate earnings.

By 09:45 ET (13:45 GMT), the Dow Jones Industrial Average climbed 50 points, or 0.1%, while the S&P 500 index slipped 2 points, or 0.1%, and the NASDAQ Composite fell 45 points, or 0.2%.

The main averages on Wall Street rose on Monday, powered by a uptick in technology and finance shares, and helped by hopes that a resolution to a weeks-long federal government shutdown.

Optimism over shutdown, trade talks

Investors have welcomed signs of resilience in the financial sector, after last week’s worries about the health of the regional banking sector, while upbeat remarks from a White House adviser helped fuel hopes that Washington’s partial shutdown could soon be resolved.

Kevin Hassett, a White House economic adviser, told CNBC on Monday that the government shutdown “is likely to end sometime this week,” comments that boosted risk appetite after weeks of political gridlock had weighed on confidence and delayed key economic data.

Optimism surrounded the U.S.-China trade fight also helped the tone, with President Donald Trump and Chinese counterpart Xi Jinping set to meet in South Korea later this month.

Netflix leads results schedule

Elsewhere, market participants are bracing for a packed earnings calendar that could set the tone for equities in the weeks ahead.

The main highlight of Tuesday’s schedule will be results from streaming giant Netflix (NASDAQ:NFLX) after the closing bell.

Shares of Netflix have climbed by more than 39% so far this year, reflecting mostly solid sentiment around a company that has moved to enhance its status as one of the icon’s of the streaming industry by introducing advertising to its platform.

But observers may be curious to hear how the business has been impacted by calls from tech mogul Elon Musk for users to cancel their subscriptions over a controversy surrounding an animated show and its creator.

Ahead of this, Coca-Cola (NYSE:KO) stock gained after the soft drinks giant posted third-quarter adjusted profit and revenue ahead of expectations, even as it described the overall operating environment as "challenging."

Rtx Corp (NYSE:RTX) stock surged after the U.S. aerospace and defense firm lifted its full-year outlook after reporting third-quarter results that topped market expectations driven by strong demand for its missiles and aftermarket services.

GE Aerospace (NYSE:GE) stock gained after the aircraft engine supplier raised its 2025 profit forecast, projecting a strong finish to the year on robust demand for aftermarket maintenance services due to a shortage of new jets.

Halliburton (NYSE:HAL) stock surged after the company beat estimates for third quarter profit, helped by steady demand for its oilfield equipment and services in North America.

Beyond Meat (NASDAQ:BYND) stock soared after the company announced it would expand distribution of select plant-based meat products to over 2,000 Walmart stores nationwide.

Also of interest, Zions Bancorporation (NASDAQ:ZION) reported stronger-than-expected quarterly earnings after the close Monday, helping to calm nerves around the health of U.S. regional banks.

Last week, Zions had flagged a $50 million charge-off linked to two loans under fraud investigation and increased its reserves for credit losses.

Crude edges lower

Oil prices slipped slightly lower Tuesday, remaining close to five-month lows as concerns over a looming supply glut and weakening demand sapped confidence. 

Brent futures slipped 0.4% to $60.79 a barrel, and U.S. West Texas Intermediate crude futures fell 0.4% to $56.82 a barrel.

Prices declined to their lowest since early May in Monday’s session on the concerns the U.S.-China trade dispute will hit economic growth as well the International Energy Agency’s outlook for a growing supply glut in 2026.

Ayushman Ojha contributed to this article