The major U.S. index futures are currently pointing to higher open on Tuesday, with stocks likely to extend the rebound seen in the previous session.

Traders may continue to look to pick up stocks at relatively reduced levels amid a positive reaction to some of the latest corporate earnings news.

Shares of General Motors (NYSE:GM) are moving sharply higher in pre-market trading after the auto giant reported first quarter results that exceeded analyst estimates on both the top and bottom lines.

Snack and beverage giant PepsiCo (NASDAQ:PEP) is also likely to see initial strength after reporting better than expected first quarter results.

On the other hand, shares of JetBlue (NASDAQ:JBLU) are seeing substantial pre-market weakness after the airline reported a narrower than expected first quarter loss but lowered its 2024 revenue forecast.

Delivery giant UPS (NYSE:UPS) may also move to the downside after reporting first quarter earnings that beat analyst estimates but weaker than expected sales.

U.S. stocks climbed higher on Monday, with those from the technology sector turning in a fine performance, as traders indulged in some bargain hunting after recent losses. Easing worries about Middle East tensions helped underpin sentiment.

The major averages all closed on a firm note. The Dow ended with a gain of 253.78 points or 0.7 percent at 38,239.98, more than 200 points off the day’s high of 38,447.16.

The S&P 500, which climbed to a high of 5,038.84, settled at 5,010.60, gaining 43.37 points or 0.9 percent, while the Nasdaq ended higher by 169.30 points or 1.1 percent at 15,451.31, off the day’s high of 15,539.00.

The market gained amid slightly easing fears of a wider Middle East conflict after Iran and Israel completed ‘measured’ counterattacks that were calibrated to avoid any casualties. A bit of bargain hunting is contributing as well to the market’s rise.

Investors awaited a slew of key U.S. economic data this week, including reports on new home sales, durable goods orders and personal income and spending.

The Commerce Department’s personal income and spending report includes readings on inflation said to be preferred by the Federal Reserve.

Earnings season also starts to pick up steam this week, with Tesla (NASDAQ:TSLA), Boeing (NYSE:BA), IBM (NYSE:IBM), Caterpillar (NYSE:CAT), Honeywell (NASDAQ:HON), Alphabet (NASDAQ:GOOGL), Intel (NASDAQ:INTC), Microsoft (NASDAQ:MSFT), Chevron (NYSE:CVX) and Exxon Mobil (NYSE:XOM) among the companies due to report their quarterly results.

Goldman Sachs and JPMorgan Chase climbed 3.3% percent and about 2%, respectively. Procter & Gamble gained 1.5 percent.

Amazon, McDonald, Chevron, Amgen and Walmart gained 1 to 1.5 percent.

Salesforce.com shares gained more than 1 percent after the company backed away from its talks to acquire data-management software firm Informatica.

Ford Motor rallied more than 6 percent. United Airlines Holdings gained about 5 percent. Nvidia climbed 4.35 percent. Citigroup, Delta Airlines, Seagate Technology, Moderna and American Airlines also ended sharply higher.

Verizon ended 4.7 percent down. The company, which announced weak profit and slightly higher revenues in its first quarter, maintained its fiscal 2024 earnings outlook. For 2024, Verizon continues to expect adjusted earnings per share of $4.50 to $4.70.

Tesla drifted down 3.4 percent, on concerns over gross margins after the company lowered prices in several markets.