U.S. stock futures were higher Tuesday morning; but a far cry from recovering the Dow Jones Industrial Average's more than 1,000-point or 3.5% plunge. The spike in coronavirus cases beyond China sparked concerns Monday about a prolonged global economic slowdown due to the outbreak. The market losses were widespread around the world, with global stocks losing over $1.7 trillion of value in a single day. Investors were buying up bonds as a safety trade, pushing yields to multiyear lows and translating into a 3.34% rate on a 30-year mortgage. The S&P/Case-Shiller report on home prices for December is out at 9 a.m. ET.
Shares of Home Depot were more than 2% higher in the premarket after the company beat estimates with fourth-quarter earnings and revenue. It also increased its dividend by 10%. Home Depot backed its lowered 2020 business outlook. Investors will be listening to Home Depot's post-earnings conference call Tuesday morning for indications of supply chain impact from the coronavirus. Macy's shares jumped more than 6% as the retailer's earnings topped lowered expectations. But the stock later gave up those gains. After-the-bell, Virgin Galactic and Salesforce release their quarterly results.
The World Health Organization on Tuesday warned countries around the world to ready for the coronavirus to come "knocking at the door." China's National Health Commission reports 508 new cases and 71 new deaths. South Korea confirms 84 new cases. Iran has 61 cases and 12 deaths. In Spain, hundreds of staff and tourists staying at a hotel in the Canary Islands were put under lockdown Tuesday, El Pais newspaper reported, after a guest later tested positive for the virus. In the U.S., the Trump administration submitted a budget request to Congress for $2.5 billion towards coronavirus prevention and treatment.
As many parts of China ease coronavirus travel curbs, many businesses are resuming operations there. Apple said that 29 of its 42 retail stores on the mainland have reopened. However, many of the locations are still on limited hours. Earlier this month, Apple temporarily shuttered all of its stores and corporate offices in China due to "an abundance of caution." Last week, Apple issued a warning on current quarter revenue due to the coronavirus and efforts to mitigate its effect.
The major candidates for the 2020 Democratic presidential nomination will be back on the debate stage Tuesday night; this time in Charleston ahead of Saturday's South Carolina primary. Sen. Bernie Sanders leads the delegate count after strong results in Iowa, New Hampshire and Nevada. After last week's debate debacle in Las Vegas, billionaire former New York City Mayor Mike Bloomberg's campaign plans to unleash a media operation against the Vermont democratic socialist. The Bloomberg campaign plans a multipronged attack, including the publication of opposition research, said senior aides.