Wall Street Cautious as US Stock Futures Slip Amid Mixed US-China Trade Signals

US stock futures dipped slightly Sunday evening following a strong week on Wall Street, as investor sentiment wavered amid conflicting messages on US-China trade talks and ahead of crucial tech earnings reports.

In This Article:

• S&P 500 Futures
• Nasdaq 100 Futures
• Dow Jones Futures

US Stock Futures Edge Lower After Weekly Gains

Stock futures slipped early in the week, with S&P 500 Futures down 0.4% to 5,526.75, Nasdaq 100 Futures falling 0.5% to 19,433.75, and Dow Jones Futures dipping 0.4% to 40,111.0 at 20:10 ET (00:10 GMT).

This pullback follows Friday’s strong close where Alphabet’s (GOOGL) impressive quarterly earnings boosted optimism around artificial intelligence investments, driving the S&P 500 up by 0.7% and the NASDAQ Composite by 1.3%, while the Dow Jones ended largely flat.

US-China Trade Uncertainty Weighs on Market Sentiment

Investor caution resurfaced over the weekend after US Treasury Secretary Scott Bessent contradicted President Donald Trump’s claims of ongoing tariff negotiations with China.
Bessent stated on Sunday that he was unaware of any active talks between Washington and Beijing, casting doubt over Trump’s earlier assertions that discussions with Chinese President Xi Jinping were underway.

This contradiction triggered renewed uncertainty, as last week had seen some hope after China reportedly exempted certain US imports from its retaliatory 125% tariffs.
However, China’s official denial of trade discussions now raises serious concerns about the path forward for US-China trade relations.

The US-China trade war remains a key risk for global markets, as escalating tariffs could fuel recession fears and dampen corporate earnings outlooks.

Tech Earnings Take Center Stage: Apple, Microsoft, Amazon, Meta in Focus

Investors are now turning their attention to a crucial week of corporate earnings, particularly from the Magnificent Seven tech giants.
Major tech companies set to report include:

• Microsoft Corporation (MSFT) and Meta Platforms Inc (META) on Wednesday
• Apple Inc (AAPL) and Amazon.com Inc (AMZN) on Thursday

These results will be pivotal for assessing the health of the AI investment boom, corporate spending trends, and resilience amid tariff headwinds.

Other big names such as Visa (V), Coca-Cola Co (KO), and Caterpillar Inc (CAT) are also scheduled to release earnings this week, offering broader insights into consumer demand and industrial growth.

Final Thoughts

The combination of mixed trade signals and upcoming mega-cap tech earnings is setting up a volatile week for US markets.
Investors should remain cautious as uncertainty surrounding US-China tariffs continues to drive market sentiment, while key earnings reports could either extend Wall Street’s rally or trigger a pullback.

Stay tuned to DailyForex.pk for the latest stock market updates, US-China trade war developments, and live coverage of earnings season.