What Happened
On Tuesday, stock futures showed slight gains following a tumultuous start to the final week of February trading. Futures linked to the Dow Jones Industrial Average increased by 140 points, or 0.3%, largely driven by a 4% rise in Home Depot’s shares after the company reported better-than-expected earnings. Meanwhile, S&P 500 futures rose by 0.2%, and Nasdaq 100 futures gained 0.3%.
Why It Matters
The market experienced significant declines on Monday, with the Dow falling over 800 points, primarily due to a 13% drop in IBM shares and concerns over potential disruptions from artificial intelligence across various industries. Additionally, President Donald Trump’s threat to raise global tariffs to 15% and escalating tensions between the U.S. and Iran contributed to market volatility. A new 10% U.S. tariff took effect on Tuesday, and reports indicate that the White House is considering a formal increase to 15%.
What’s Next
Investors are now focusing on upcoming earnings reports from major companies, including Home Depot, Nvidia, Salesforce, and Snowflake, which could provide further insights into market trends. Analysts have noted a cautious approach among traders, who are rotating away from risk-sensitive assets amid rising trade uncertainties and mixed economic signals. The market’s performance in the coming days will be closely monitored as these factors unfold.
