Dow Jones Futures: Banking crisis escalates ahead of CPI inflation report; GitLab, Tesla, Schwab in focus

Dow Jones futures were higher ahead of Tuesday's open as the banking crisis continued to escalate.

There have been two major bank failures in the recent past - SVB Financial ( SIVB ) and Signature Bank ( SBNY )

Meanwhile, Schwab stock fell 11% on Monday on rising liquidity fears, while Tesla shares soared after the company ramped up hiring at its Gigafactory in Texas. 

Charles Schwab downplayed fears that the largest US brokerage would need to sell some of its bond holdings to cover deposit withdrawals.

According to Dow Jones, Schwab stock's decline at its worst point would be the largest percentage decrease on record.

US banks declined, with major Bank of America down 5.8%, JPMorgan Chase down 1.8% and Wells Fargo down 7.1%.

The Federal Reserve will pause its rate-hike drive at next week's meeting as the failure of three banks stokes concerns about wider financial-sector stress, according to a report.

Chances are that if the Fed doesn't hold off next week, markets are betting that a rate cut is just around the corner.