Here are five things you must know for Tuesday, Feb. 6:
1. -- Stock Futures Swing Wildly
U.S. stock futures were swinging wildly in and out of positive territory on Tuesday, Feb. 6, and European stocks suffered steep declines, as investors tried to make sense of a market rout that has spread globally.
Futures tied to the Dow Jones Industrial Average have swung more than 1,000 points on Tuesday and most recently were down 212 points, following the Dow's drop on Monday, Feb. 5, of 1,175 points, or 4.6%, the largest single-day point drop ever. Contracts tied to the broader S&P 500 declined 8.00 points after the index plunged 4.1% on Monday.
The Dow plummeted by as much as 1,597 points at one point on Monday. The blue-chip index has declined 1,840 points over the last two trading sessions and has now turned negative for the year.
The catalyst for the latest selloff came as bond yields spiked after the U.S. added 200,000 jobs to payrolls in January, above forecasts, and yearly wage gains rose at the fastest pace since the Great Recession of 2008-2009. For many traders, the wage gains are a sign the Federal Reserve will have to pick up the pace of its rate hikes.
"(Monday's) market drop, while understandably unsettling to investors, just takes us back about two months," said Bankrate.com's chief financial analyst Greg McBride. "The S&P 500 last closed lower than this on Dec. 7. Market corrections are normal, no matter how nerve wracking they are at the time. Just hang in there, maintain a long-term perspective and resist the urge for any knee-jerk reactions."
2. -- Disney Highlights Earnings Calendar
The stock was rising 1.8% in premarket trading following the release of the earnings and after Allergan said Tuesday that its migraine drug saw positive results in a late-stage clinical trial.
3. -- Toyota Raises Profit Forecast
Toyota Motor Corp. (TM - Get Report) saw its profit nearly double in the fiscal third quarter, and the Japanese automaker lifted its annual profit projection through March to 2.4 trillion yen ($22 billion), a record high.
Toyota said profit in the October-December quarter was 941.8 billion yen ($8.6 billion), up from 486.5 billion yen a year earlier. Sales rose 7.4% to 7.6 trillion yen ($69.8 billion).
The company said it got a nearly 292 billion yen ($2.7 billion) boost from tax breaks under the Trump administration for the nine months through December.
American depositary receipts of Toyota rose 0.8% in premarket trading on Tuesday.
4. -- BP Earnings Top ForecastsBP PLC ( BP - Get Report) reported fourth-quarter underlying replacement cost profit of $2.1 billion, beating analysts' expectations of $1.9 billion.
"This is the best earnings we have had in recent history ... All of the businesses are firing on all cylinders," CEO Bob Dudley told CNBC on Tuesday.
5. -- Lululemon CEO Abruptly Resigns
"Lululemon expects all employees to exemplify the highest levels of integrity and respect for one another, and Mr. Potdevin fell short of these standards of conduct," the company said in a statement.
This article includes updated stock market data and earnings from Allergan, General Motors and Dunkin' Brands.