U.S. stock index futures were little changed on Monday as investors braced for a pivotal week packed with key economic data and earnings reports from some of Wall Street’s biggest names, while ongoing U.S. trade policy developments remained a critical backdrop.
The three major indexes posted weekly gains last week, while the small-cap Russell 2000 logged its best week since November, buoyed by signs that the U.S. and China might be moving toward de-escalating trade tensions.
However, conflicting statements from Beijing and President Donald Trump over the weekend injected fresh uncertainty into markets.
“The market really just continues in this game of trying to figure out what’s next for President Trump and trade negotiations,” said Phil Blancato, CEO of Ladenburg Thalmann Asset Management.
📊 Earnings Season in Focus
This week will be crucial for earnings, with around 180 S&P 500 companies scheduled to report. Investors will especially focus on the “Magnificent Seven” megacap tech stocks—Apple, Microsoft, Amazon, and Meta Platforms among them—as they are expected to show resilience against trade tariffs.
Blancato added:
“Big tech companies can continue to beat earnings expectations as they are more resistant to tariffs. Are you going to tell somebody to not use a Microsoft operating system at this point because of a tariff? That’s highly unlikely.”
Overall, earnings season has been better than expected. Analysts now forecast S&P 500 earnings to grow 9.7% year-over-year in Q1, up from the 8% estimate at the start of April, according to LSEG IBES.
Still, some companies have warned about the uncertainty caused by new tariffs, with a few revising or withdrawing annual forecasts altogether.
📈 Key Economic Data Ahead
Beyond earnings, investors will keep a sharp eye on upcoming macro data releases, including:
- Monthly U.S. payrolls data
- Gross Domestic Product (GDP) figures
- Personal Consumption Expenditures (PCE) Price Index
These reports are expected to provide critical clues about how tariffs are impacting growth, inflation, and the labor market.
🛒 Premarket Movers
- Domino’s Pizza shares dropped 3.6% in premarket trading after reporting a surprise decline in first-quarter U.S. same-store sales, citing weaker consumer spending.
- Opera‘s U.S.-listed shares surged 13.3% after the browser developer raised its full-year revenue guidance.
At 8:31 a.m. ET, futures were modestly lower:
- Dow E-minis: -10 points (-0.02%)
- S&P 500 E-minis: -3.75 points (-0.07%)
- Nasdaq 100 E-minis: -18.75 points (-0.1%)
🧩 Conclusion: Cautious Optimism Amid Trade and Economic Crosscurrents
While the market is entering this critical week with a cautious tone, positive earnings momentum and hopes of reduced trade tensions could provide a tailwind. Yet, uncertainties surrounding Trump’s trade strategy and fragile economic signals continue to keep risk appetite in check.
Bottom line:
This week could set the tone for the next leg in the markets—whether it’s a continuation of the recent rebound or a renewed downturn if corporate or economic data disappoints. Investors should prepare for volatile swings as earnings, economic indicators, and trade headlines battle for dominance.
