Nasdaq and S&P 500 futures rose on Tuesday as investors await earnings reports from major Wall Street banks and inflation data that could shape expectations for interest rate cuts.
As of 05:32 ET, S&P 500 futures rose 0.35%, increasing by 22 points, while Nasdaq 100 futures surged 0.59%, reaching record highs. The rise was driven by Nvidia’s plan to restart sales of AI chips to China. The company’s shares rose 5.2% in pre-market trading.
Other chip manufacturers such as AMD, Marvell, and TSM also gained between 2.5% and 3.6%.The earnings season officially begins with reports from giant banks such as JPMorgan Chase, Wells Fargo, and Citigroup.
These banks are expected to increase their profits thanks to strong transaction volumes and a recovery in investment banking.While the market is currently ignoring President Donald Trump’s threats of new tariffs against Russia, hopes of progress in negotiations with the EU and Mexico supported the rise.
Markets see a low probability of a rate cut in July, while pricing in a 60% chance of a possible cut in September. Statements from four Fed officials during the day may provide new clues about the policy path.
