NEW YORK (TheStreet) -- U.S. stock futures traded higher Tuesday as investors cling to hope that an 11th-hour deal will be made between Greece and its creditors. The debt-laden country has a $1.71 billion payment due to the International Monetary Fund on Tuesday and reports are that Greece won't make the payment.
S&P 500 futures rose 0.77%, Dow Jones Industrial Average futures added 0.62% and Nasdaq futures increased 0.62%, following a major selloff on Monday. The Dow lost 350 points on Monday and entered negative territory for the year.
While no deal is in place for Greece and a default looks likely, Greek Finance Minister Yanis Varoufakis told Reuters he is hopeful a last-minute agreement will be made. Greece announced over the weekend that it will hold a referendum on July 5 to allow citizens to decide if the country should remain in the 19-country eurozone. A "Grexit" would mean a return to Greece's old drachma currency.
Investors in Europe weren't feeling as hopeful, with London's FTSE down 0.4%, Frankfurt's DAX up 0.02% and Paris's CAC to the downside by 0.10%. The euro lost 0.36% against the dollar.
"Unless there is a last ditch agreement [Tuesday] between Athens and the creditors to extend the bailout program by five-months (with partial debt relief or a commitment hereto), [Monday's] recovery in euro assets is likely to prove fleeting," wrote Societe Generale's Kenneth Broux in a note. "The probability of a deal happening is low and means Greece will fall in arrears with the IMF today if it does not honor the repayment."
Investors in the U.S. braced for a busy economic calendar on Tuesday with the S&P/Case-Shiller Home Price Index to be released at 9 a.m. EDT, along with the Chicago Purchasing Manager Index at 9:45 a.m. and consumer confidence data at 10 a.m.
Apple's (AAPL) - Get Report streaming music service begins on Tuesday for $9.99 ar month, following a 90-day free trial. The service will include music from Taylor Swift, who removed her songs from competitor streaming service Spotify. Apple's service is also set to compete with Pandora (P) .
Shares of Apollo Education Group (APOL) slumped 11.5% in premarket trading after the company reported third-quarter earnings per share of 53 cents, on an adjusted basis, down from 78 cents a year earlier.
Celgene (CELG) - Get Report shares weretrading lower after saying it will spend $1 billion over the next decade in a partnership with Juno Therapeutics (JUNO) to develop treatments for various immune system diseases.
ConAgra Foods (CAG) - Get Report reported adjusted quarterly earnings per share of 59 cents, in line with estimates. Shares edged up more than 3% after it announced that it expects to exit its private label operations.
AOL (AOL) will take control of Microsoft's (MSFT) - Get Report Web display advertising operations. AOL was recently acquired by Verizon (VZ) - Get Report. Shares of Microsoft rose 0.75% in premarket trading.