US Stocks Likely To Open Higher After Monday's Selloff: TSLA Stock Rebounds From Its Worst Fall In 5 Years After Trump Backs Musk, Analyst Says 'Pullbacks Are Normal'

U.S. stock futures rose on Tuesday following Monday’s heavy selloff. Futures of all four benchmark indices surged in premarket trading.

On Monday, the Nasdaq 100 index fell 12.56%, while the S&P 500 dropped 8.67% from its previous high. While Nasdaq 100 had entered the correction zone last week, S&P 500 was nearing the territory.

The selloff followed President Donald Trump‘s comments from Sunday, where he didn’t rule out the possibility of a recession. He also said that the economy was undergoing "a period of transition,” as his tariff battle against major trading partners continued.

Meanwhile, the 10-year Treasury yield stood at 4.20%, while the two-year yield was at 3.89%. According to the CME Group's FedWatch tool, there is a 95% chance that the Federal Reserve will keep interest rates unchanged for the March meeting.

Futures	Change (+/-)
Nasdaq 100	0.41%
S&P 500	0.27%
Dow Jones	0.20%
Russell 2000	0.93%

The SPDR S&P 500 ETF Trust SPY and Invesco QQQ Trust ETF QQQ, which track the S&P 500 index and Nasdaq 100 index, respectively, rose in premarket on Tuesday. The SPY was up 0.37% to $562.63, and the QQQ also advanced 0.57% to $475.42, according to Benzinga Pro data.

Cues From The Last Session

On Monday, U.S. stock market saw significant losses, particularly in consumer discretionary, information technology, and communication services sectors.

In contrast, utilities and energy sectors saw gains. This sector-driven decline contributed to the Dow dipping 890 points.

Overall market weakness followed a tough week, with the S&P 500 down 3.1%. Tesla Inc. TSLA and Meta Platforms Inc. META shares also experienced notable drops.

Index	Performance (+/-)	Value
Nasdaq Composite	-4.00%	17,468.32
S&P 500	-2.70%	5,614.56
Dow Jones	-2.08%	41,911.71
Russell 2000	-2.72%	2,019.07

Insights From Analysts

After entering correction territory last week, the Nasdaq 100 fell 3.81% on Monday, confirming a key trend highlighted by Jason Goepfert.

Historically, a 3.5%+ drop following a correction and a 200-day average breach has led to a bear market, according to Goepfert.

Goepfert reaffirmed his assumptions and said that a "bad scenario," had been triggered and it was "Not the best sign for bulls."

Already triggered the bad scenario.

Not the best sign for bulls. https://t.co/GMm8bv3sUr
— Jason Goepfert (@jasongoepfert) March 10, 2025

However, not all analysts believed that the indices are headed toward a bear market.

Mona Mahajan, the investment strategist at Edward Jones, calmed the investors after Monday’s selloff and said that pullbacks are normal and the possibility of a bear market was not confirmed.

“Investors are understandably nervous – the economy seems to be softening as tariffs and government policy uncertainty remain elevated. But keep in mind that in any given year, one to three pullbacks are normal, in the 5% to 15% range, and historically these have led to buying opportunities. Especially because we don’t yet see a recession, the likelihood of a deep or prolonged bear market is not as high.”

Sentimentrader’s Jay Kaeppel said that the U.S. stock market is only “sorta, kinda” oversold, citing the McClellan Oscillator’s data for the S&P 500.

BTW, the U.S. stock market is only "sorta, kinda" oversold. Corrections tend to play out until an actual "washout" occurs. Sorry, I don't make the rules. @sentimentrader pic.twitter.com/kg4bPq7Dvf
— Jay Kaeppel (@jaykaeppel) March 10, 2025

Charlie Bilello of Creative Planning shared a list of past S&P 500 drops, noting each event “seemed like the end of the world” at the time.

The S&P 500 has now fallen over 9% from its peak on February 19, the biggest pullback since last August. This is the 30th correction >5% off of a high since the March 2009 low. They all seemed like the end of the world at the time. $SPX

Video: https://t.co/bp8qymBdHZ pic.twitter.com/gnv4F6E5li
— Charlie Bilello (@charliebilello) March 11, 2025

See Also: How to Trade Futures

Upcoming Economic Data

Here’s what investors will keep on Tuesday:

On Tuesday, February’s NFIB optimism index data will be released at 6:00 a.m., ET.

January’s job openings data will be out by 10:00 a.m., ET.

Stocks In Focus:

DICK’S Sporting Goods Inc. DKS was up 0.94% in premarket on Tuesday ahead of its earnings, which will be released before the opening bell. Analysts expect it to report earnings of $3.53 per share on revenue of $3.78 billion.

Ciena Corp. CIEN dropped 1.23% as Wall Street expects it to report quarterly earnings of 41 cents per share on revenue of $1.05 billion before the opening bell.

Kohl’s Corp. KSS slipped 2.07% ahead of its earnings, which will be released before the opening bell. Analysts expect it to report earnings of 73 cents per share on revenue of $5.14 billion.

United Natural Foods Inc. UNFI advanced 0.07% as Wall Street expects it to report quarterly earnings of 19 cents per share on revenue of $7.96 billion before the opening bell.

Oracle Corp. ORCL was 1.08% lower after reporting third-quarter revenue of $14.13 billion, missing the consensus estimate of $14.39 billion. Also, adjusted earnings of $1.47 per share, missing analyst estimates of $1.49 per share.

2Seventy Bio Inc. TSVT surged 76.07% as Bristol-Myers Squibb Co. BMY said that it will acquire the company for $5.00 per share in an all-cash deal, an 88% premium, valuing the company at $286 million.

Tenon Medical Inc. TNON zoomed 60% after it secured two European patents for its Catamaran SI Joint Fixation Device, strengthening its global portfolio and highlighting its innovation in SIJ disorder treatment.

NET Power Inc. NPWR slumped 35.79% after reporting wider-than-expected fourth quarter loss.

Asana Inc. ASAN plummeted 27.34% after CEO Dustin Moskovitz announced retirement.

LifeMD Inc. LFMD rose 23.65% after reporting better than expected revenue and EPS in the fourth quarter.

Tesla Inc. TSLA jumped 3.09% after dropping over 41.43% on a year-to-date basis in 2025 as Trump reaffirmed his support for Elon Musk on Monday, praising him for “putting it on the line” for the nation. On Truth Social, Trump accused “left lunatics” of illegally colluding to boycott Tesla.

Commodities, Gold And Global Equity Markets:

Crude oil futures were trading higher in the early New York session by 0.73% to hover around $66.51 per barrel.

The gold spot index was up by 0.74% to $2,910.70 per ounce. Its last record high was at $2,956.37 per ounce. The Dollar Index was down 0.44% at the 103.444 level.

Asian markets closed mostly lower on Tuesday as Australia's ASX 200, Japan's Nikkei 225, South Korea's Kospi, and Hong Kong's Hang Seng index declined. Whereas India's S&P BSE Sensex, China's CSI 300 advanced. European markets were mostly higher in trade.

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