Futures Edge Higher After Retail Sales Report
U.S. stock index futures added to gains Tuesday following better-than-expected retail sales and after both French and German gross domestic product (GDP) data beat expectations.
Retail sales rose 0.8 percent in July, climbing for the first time in four months, according to the Commerce Department. Economists polled by Reuters had expected retail sales to gain 0.3 percent.
Producer prices gained 0.3 percent in July, the fastest pace in five months in July, according to the Labor Department. Analysts polled by Reuters expected the index to rise 0.2 percent. The increase was mainly driven by gains in consumer goods, with light trucks up 1.6 percent and pharmaceuticals up 0.9 percent. But energy prices fell 0.4 percent last month.
In Europe, France's GDP remained flatin the second quarter compared to the previous quarter; economists had expected a 0.1 percent decline, which would have tipped the country into recession. And German GDP rose 0.3 percent on the previous quarter, sending European shares higher. (Read More: The Secret to Germany's Economic Strength)
Among earnings, Home Depot climbed after the home-improvement retailer topped Wall Street's profit estimates and boosted its fiscal-year earnings guidance. Rival Lowe's also edged higher.
Groupon plunged more than 20 percent after the daily-deals site missed sales expectations and handed in a cautious earnings outlook, due to Europe's weak economy and currency fluctuations. Shares have already plunged nearly 70 percent since the company's IPO last November. At least four brokerages slashed their price targets on the firm.
Michael Kors soared after the upscale apparel retailer posted better-than-expected earnings and raised its full-year earnings forecast.
TJX raised its full-year earnings forecast on a rise in its quarterly revenue, thanks to shoppers seeing discounted designer products.
Meanwhile, department-store chain Saks posted a narrower-than-expected quarterly loss and maintained its revenue forecast for the second half of the fiscal year.
At 10 am ET, the Commerce Department will release June business inventories, which economists polled by Briefing.com see rising 0.2 percent, following May’s 0.3 percent increase.
—By CNBC’s JeeYeon Park (Follow JeeYeon on Twitter: @JeeYeonParkCNBC)
Coming Up This Week:
TUESDAY: Business inventories, 13-F filings due
WEDNESDAY: Weekly mortgage apps, CPI, Empire state mfg survey, Treasury int'l capital, industrial production housing market index, oil inventories, Fed's Kocherlakota speaks, credit card default rates reported, Facebook lock-up expiration, Forest Labs shareholders mtg; Earnings from Deere, Target, Cisco, Applied Materials, Limited Brands
THURSDAY: Housing starts, jobless claims, Philadelphia Fed survey, e-commerce retail sales, Fed's Kocherlakota speaks; Earnings from Wal-Mart, Dollar Tree, Sears, Ross Stores, Aeropostale, Gap
FRIDAY: Consumer sentiment, leading indicators; Earnings from Ann, JM Smuckers, Foot Locker
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