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* IBM jumps after quarterly profit
* Coca-Cola rises after signaling recovery in demand
* Futures on the rise: Dow 0.72%, S&P 0.79%, Nasdaq 0.83% (Add price, details; Update prices)
By Medha Singh and Devik Jain
July 21 (Reuters) – Major Wall Street indexes would open higher on Tuesday after a list of reports of positive earnings from companies like IBM and Coca-Cola, and in the hope that domestic stimulus will support an economy reeling from the COVID-19 pandemic.
Coca-Cola Co rose 2.2% before marketing as it said demand for its soft drinks was improving after the “most challenging” quarter of the year.
International Business Machines Corp was up 5.3% after signaling increased demand for its cloud computing business as large corporations accelerate their digital change.
“If this economic recovery continues slowly, technology stocks will likely continue to be one of the leaders. Technology is up to the task and they need to justify much of this strength and earnings,” said Ryan Detrick, chief market strategist at LPL Financial in Charlotte. , North Carolina.
As the second quarter is expected to see the worst of the pandemic’s impact on earnings, investors are more focused on the clues as to how long it would take for the United States to recover.
The S&P 500 closed higher during the year and the Nasdaq hit a record high on Monday after promising early test data for three potential vaccines and a boost from high-flying companies like Amazon.com Inc and Microsoft Corp.
Advisers to President Donald Trump and Democrats in Congress were due to discuss next steps to respond to the coronavirus crisis on Tuesday, and Republicans in Congress said they were working on a $ 1 trillion relief bill.
Overnight, the leaders of the European Union agreed on a massive coronavirus relief program.
Meanwhile, new infections emerged in Florida on Monday, while California saw an improvement, with cases and hospitalizations beginning to stabilize after a surge. Trump also said he would resume holding regular COVID-19 briefings on Tuesday.
At 8:19 am ET, Dow’s e-minis rose 191 points, or 0.72%. S&P 500 e-minis were up 25.75 points, or 0.79%, and Nasdaq 100 e-minis were up 91 points, or 0.83%.
Lockheed Martin Corp was up 3.7% as the U.S. arms supplier raised its year-round profit and revenue forecasts fueled by higher quarterly sales at its aeronautical unit that makes the F-35 fighter jet .
Large oil companies Exxon Mobil Corp and Chevron Corp increased 1.8% and 2.0%, respectively, given the prospects of higher fuel demand. (Report from Medha Singh in Bangalore; Shounak Dasgupta edition)
