Nasdaq futures cause stocks to fall in anticipation of stormy earnings

The technology sector sent U.S. stocks falling before the bell on Monday as investors braced for a week of top gains that could fuel or delay a record-breaking rally.

S&P 500 futures (ES=F) fell about 0.3%, hitting a new all-time closing high and a sixth straight weekly gain. Dow Jones Industrial Average futures (YM=F) fell slightly 0.2%, while contracts on the tech-heavy Nasdaq 100 (NQ=F) lost 0.6%.

Whether records continue to roll depends to a large extent on whether the company’s results exceed high expectations. Earnings season heats up this week as over 100 S&P 500 companies are scheduled to report. So far in the third quarter, 80% of the benchmark’s updates have exceeded the mark.

Investors are eagerly awaiting Tesla’s (TSLA) report on Wednesday after its robotaxi launch fell short of expectations. The electric vehicle maker is the highlight of the week amid questions about Big Tech’s performance, even after Netflix’s (NFLX) strong start to the megacap season.

General Motors (GM), Coca-Cola (KO), American Airlines (AAL) and UPS (UPS) are among the other big winners on the earnings list this week.

Boeing (BA) faces a double whammy on Wednesday: The company is expected to release its earnings at the same time workers vote on whether to accept a tentative agreement with the union to end a five-week strike. Shares of the aircraft maker rose over 3% in early Monday trading.

Meanwhile, oil prices recovered, rising about 2%, while Chinese stocks (000300.SS) rose as China’s stimulus programs continued with a cut in key interest rates. Global benchmark Brent crude futures (BZ=F) traded at around $74 a barrel, while West Texas Intermediate crude oil futures (CL=F) topped $70, with Israel’s The next Iran advance is also in focus.