Futures rebound after three-day slump on Wall Street By Reuters

(Reuters) – U.S. stock index futures climbed on Tuesday, with investors buying into beaten-down banks and megacap growth stocks after a three-day selloff on fears around tighter monetary policy and slowing economic growth.

Apple Inc (NASDAQ:), Microsoft Corp (NASDAQ:), Meta Platforms, Amazon.com (NASDAQ:), Google (NASDAQ:) owner-Alphabet Inc and Tesla (NASDAQ:) Inc rose between 1.2% and 2.5% in premarket trading.

Goldman Sachs Group (NYSE:) added 1.3% to lead gains among the big banks.

On Monday, the benchmark ended below 4,000 for the first time since late March 2021 and the Nasdaq dropped more than 4%.

Both the indexes have dropped about 16% and 26%, respectively, this year due to the war in Ukraine, China’s COVID-19 lockdowns roiling global supply chains and rising bond yields as traders adjust to higher U.S. interest rates.

The quick rise in yields, the war-related trouble in oil markets and other factors have already strained some parts of the financial system, the Federal Reserve reported on Monday in a biannual update that warned of a system poised for potentially “sudden” disruption.

Meanwhile, a closely watched inflation report due on Wednesday is expected to show consumer prices increased at a slower pace in April.

At 6:43 a.m. ET, were up 281 points, or 0.87%, were up 39.75 points, or 1%, and were up 176.5 points, or 1.45%.

A slew of Fed policymakers are also scheduled to speak later in the day, with investors parsing for clues on future path of interest rates.

Among other stocks, Novavax (NASDAQ:) Inc plunged 22.5% after the vaccine maker revealed a sharp drop in first-quarter COVID-19 research funding and said it shipped less than a fourth of the total vaccine deliveries slated for 2022.

AMC Entertainment (NYSE:) added 4.2% after it posted better-than-expected quarterly revenue and a narrower loss, as the release of big-ticket films such as “The Batman” drew crowds to movie halls of the world’s largest theater chain.