U.S. stock index futures moved little on Monday evening, steadying after Wall Street eked out record highs in anticipation of upcoming earnings from some of the country’s biggest companies.
The S&P 500 and the Nasdaq Composite briefly hit intraday record highs on Monday, but gains were limited by persistent caution over trade tariffs and interest rates. Reports of a brewing trade war between the U.S. and the European Union rattled sentiment, especially with President Donald Trump’s tariffs set to take effect from August 1.
S&P 500 Futures rose slightly to 6,348.25 points, while Nasdaq 100 Futures were flat at 23,346.25 points by 19:59 ET (23:59 GMT). Dow Jones Futures rose 0.1% to 44,591.0 points.
Tesla, Alphabet to headline earnings this week Focus this week is squarely on second-quarter prints from Tesla Inc (NASDAQ:TSLA) and Alphabet Inc (NASDAQ:GOOGL), the first of Wall Street’s so-called Magnificent Seven to report this earnings season.
Both prints are due on Wednesday, and will be closely watched for more cues on the effects of Trump’s tariffs on corporate earnings.
Before the two tech majors, Coca-Cola Co (NYSE:KO), Philip Morris International Inc (NYSE:PM), Rtx Corp (NYSE:RTX), Texas Instruments Incorporated (NASDAQ:TXN), Lockheed Martin Corporation (NYSE:LMT), and General Motors Company (NYSE:GM) are set to report earnings on Tuesday.
Wall Street was buoyed by a host of positive bank earnings last week, although the country’s biggest lenders warned of an uncertain economic outlook due to Trump’s tariffs.
3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads. Still, signs of resilience in the economy kept investors optimistic, even as they dialled down expectations for interest rate cuts in the near term.
The S&P 500 rose 0.1% to 6,305.60 points, briefly hitting a record high of 6,336.08 points. The NASDAQ Composite rose 0.4% to 20,974.18 points after hitting a high of 21,076.72 points. The Dow Jones Industrial Average closed flat at 44,323.07 points.
Trump tariffs, interest rate caution persists While Wall Street did hit a series of record highs over the past week, its pace of gains was seen slowing in recent sessions, amid persistent caution over Trump’s tariffs and interest rates.
Trump outlined tariff rates ranging from 20% to 50% against major U.S. trading partners, all of which are set to take effect from August 1. The president also imposed a 50% duty on copper imports, and threatened a 200% duty on pharmaceuticals.
This left markets on edge over the inflationary impact of Trump’s tariffs, especially given that the Fed has cited the tariffs as its main motivator behind keeping interest rates unchanged in the near-term.
The Fed is set to meet next week and is widely expected to leave rates unchanged.
A hold is expected despite growing calls from Trump and his allies that Fed Chair Jerome Powell cut rates immediately. Trump’s calls for lower rates also fueled speculation that he will seek to fire Powell.
3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads. Powell is set to speak at a Fed conference in Washington D.C. on Tuesday, although it remains unclear whether he will comment on monetary policy, given that the address comes during the Fed’s blackout period before its end-July meeting.
