Stock futures moved lower Tuesday as investors reacted to a steady stream of earnings reports while awaiting news on tariffs and the results of the two-day Federal Reserve meeting that is set to start today.
Futures tied to the S&P 500 and tech-heavy Nasdaq were down 0.9% and 1.2%, respectively, about half an hour before the opening bell, while Dow Jones Industrial Average futures declined 0.7%. Stocks fell Monday to snap a nine-session winning streak for the S&P 500, its longest in two decades.
Over the past two weeks, stocks have recovered from the losses that followed President Trump’s early-April announcement of plans to impose hefty tariffs on leading trading partners, notably China. Investors have grown optimistic that the White House will negotiate deals that will result in lower rates than Trump initially proposed, though the uncertainty about where trade policy will land has spurred concerns about the outlook for the economy and corporate profits.
Investors will be paying close attention to what the Fed has to say about the impact of tariffs on the economy and interest rates. The central bank isn’t expected to adjust its benchmark rate this week, but market participants are eager to hear what Fed Chair Jerome Powell—who is scheduled to speak Wednesday afternoon following the policy committee meeting—about the outlook.
Shares of companies reporting quarterly results were among the noteworthy movers in premarket trading. Shares of Palantir (PLTR) fell 8% even as the AI software maker reported first-quarter earnings that were in line with Wall Street estimates and issued a rosy outlook. Constellation Energy (CEG), another AI investor favorite, was down 3% after releasing its earnings report.
Ford Motor (F) shares were down 2% after the automaker reported first-quarter earnings that topped analysts’ expectations but suspended its full-year forecast amid uncertainty about tariffs. Shares of Mattel (MAT) slipped about 1% after the toy maker suspended its guidance and said it would raise prices in response to the tariffs.
Mega-cap technology stocks, which powered the recent rally, were down across the board on Tuesday. Nvidia (NVDA), Alphabet (GOOG), Amazon (AMZN), Meta Platforms (META), Tesla (TSLA) and Broadcom (AVGO) were all down more than 1% ahead of the bell, while Microsoft (MSFT) and Apple (AAPL) fell slightly.
Strategy (MSTR), the biggest corporate holder of bitcoin that was formerly known as MicroStrategy, was down nearly 2% as the digital currency lost ground. Bitcoin was at $93,900, down from an overnight high of $95,200.
Shares of Newmont Mining (NEM), the world’s largest gold miner, were up 1.5%, adding to yesterday’s gains, as the price of the precious metal continued to rise. Gold futures were up 2.3% at $3,400 an ounce in recent trading.
Crude oil futures rebounded from steep declines yesterday. West Texas Intermediate futures, the U.S. benchmark, rose 2.6% to $58.60 per barrel this morning after hitting a four-year low on Monday.
The yield on the 10-year Treasury note, which affects borrowing costs on all sorts of loans, notably mortgages, was down slightly from Monday’s close at 4.33%. The U.S. dollar index, which measures the performance of the dollar against a basket of foreign currencies, fell 0.4% to 99.45.
Palantir Levels to Watch Amid Post-Earnings Sell-Off
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Palantir Technologies (PLTR) raised its full-year outlook but disappointed investors with mostly in-line quarterly results, sending shares in the analytics software provider sharply lower in premarket trading Tuesday.
The company late Monday reported first-quarter revenue of $884 million, up 39% year-over-year and above the analyst consensus. Adjusted earnings per share of 13 cents, rose from 8 cents per share a year earlier, in line with Wall Street’s estimates. Investors may have been looking for more, after the AI darling posted blowout results in February and November.
Ahead of the highly anticipated earnings report, Palantir shares were up 64% since the start of the year and had soared more than five-fold over the past 12 months. The stock has been boosted by optimism that the software maker would benefit from increasing enterprise AI deployments and federal initiatives to improve government efficiency.
After setting their record high in mid-February, Palantir shares consolidated within a falling wedge before breaking out above the pattern last month. More recently, the stock has rallied to its highest level since mid-February but found significant selling pressure around its record high as the relative strength index (RSI) crossed into overbought territory.
Indeed, the stock looks set to continue its retreat from this important technical location on Tuesday, possibly forming a double top pattern in the process.
Investors should watch major support levels on Palantir’s chart around $97, $83 and $66, while also monitoring a key overhead area near $125.
Palantir shares were down 8% at around $114 in recent premarket trading.
Read the full technical analysis piece here.
Major Stock Futures Point to Lower Open
1 hr 5 min ago
Futures tied to the Dow Jones Industrial Average were down 0.7%.
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S&P 500 futures were off 0.9%.
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Nasdaq 100 futures dropped 1.1%.
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