Pharma and Industrials Lead US Stocks Higher on Strong Earnings

Pfizer's stock surged in premarket trading after releasing its second-quarter earnings, which exceeded analyst expectations. The pharmaceutical giant reported an adjusted profit of 77 cents per share on revenues of $15.03 billion, beating forecasts of 68 cents per share and $14.41 billion, respectively. Pfizer also raised the lower end of its full-year revenue outlook, indicating confidence in its future performance.

Merck's shares rose over 1% after reporting second-quarter results that surpassed expectations. Although the pharmaceutical firm posted an adjusted loss of 13 cents per share on revenue of $16.61 billion, analysts had predicted a deeper loss of 27 cents per share with lower expected revenues of $16.36 billion.

Caterpillar experienced an 8% surge in stock value after announcing second-quarter figures that outperformed analyst predictions. The industrial company reported an adjusted profit of $8.17 per share on revenues of $20.54 billion, contrasting sharply with analysts' expectations of $6.20 per share and $19.34 billion.

Overall, the strong earnings reports from these companies contributed to a boost in Dow futures, which hit their peak for the day alongside Caterpillar's announcement.