U.S. stock futures showed slight declines in overnight trading on Sunday as uncertainty continued surrounding President Donald Trump’s upcoming tariff decisions, set to take effect this week.
Futures Slip Ahead of Key Decisions
Futures for the S&P 500 (ES=F) dipped by 0.1%, while Nasdaq futures (NQ=F) also experienced a 0.1% loss. Dow Jones Industrial Average futures (YM=F) saw a similar decline of about 0.1%. These moves come after a volatile week for major stock indexes, especially the technology-heavy Nasdaq and S&P 500, and a generally negative performance in February.
President Trump is expected to impose tariffs on imports from Canada and Mexico starting Tuesday. However, the exact level of these tariffs remains unclear. Commerce Secretary Howard Lutnick told Fox News that the situation is “fluid,” leaving traders uncertain about how the situation will unfold.
Cryptocurrencies Surge on U.S. Strategic Reserve Announcement
In a surprising turn, cryptocurrencies surged following an announcement from President Trump on social media. Trump revealed that five digital assets—Bitcoin, Ethereum, XRP, Solana, and Cardano—would be included in a new U.S. strategic cryptocurrency reserve.
This move comes after a January executive order on digital assets. Bitcoin and Ethereum, the two largest cryptocurrencies by market capitalization, were highlighted as key assets in this new reserve. Bitcoin saw a significant jump, surging above $94,000, while Ethereum also climbed past $2,500, signaling renewed confidence in the digital asset market.
Earnings Season Continues
The earnings calendar remains busy this week, with major companies like Target (TGT), Macy’s (M), Abercrombie & Fitch (ANF), Costco (COST), Broadcom (AVGO), Marvell (MRVL), Okta (OKTA), and Zscaler (ZS) set to release their results. Investors will be closely monitoring the earnings reports amid the ongoing volatility in the artificial intelligence (AI) market, which has drawn significant attention from investors looking for strong growth.
Nvidia (NVDA), a major player in AI chip production, faced a sharp decline after its earnings report last week, as it failed to meet increasingly high investor expectations.
February Jobs Report in Focus
Looking ahead, the February U.S. jobs report, due on Friday, will be the major economic data release. Economists expect the report to show modest job growth, with the unemployment rate holding steady at 4%. The report will be a crucial gauge of the health of the U.S. labor market amid concerns about the broader economy.
This comes after data from last week showed that consumer spending unexpectedly fell by 0.2% in January, raising fresh doubts about the strength of U.S. economic growth and the financial well-being of consumers.
In summary, markets are grappling with the uncertainty surrounding tariffs, the volatile performance of cryptocurrencies, and an earnings season that has yet to meet high investor expectations. The February jobs report will be closely watched as a key indicator of economic health in the U.S.
Related topics:
