Dow and S&P 500 futures rise ahead of earnings spree

#Q3WithETNOW | These are the companies set to report their Q3 numbers today👇 #EarningsWithETNOW #StockMarket pic.twitter.com/H5TrbZANyI

— ET NOW (@ETNOWlive) February 6, 2025

U.S. stock futures inched up on Thursday ahead of a rush of earnings highlighted by Amazon, as investors assessed the season so far and eyed President Donald Trump’s fast-moving policy overhaul. Dow Jones Industrial Average futures and the S&P 500 futures both nudged up around 0.2%. Contracts on the tech-heavy Nasdaq 100 hovered above the flatline.

Sensex Today, Stock Market LIVE Updates Feb 6: Sensex falls 300 points, Nifty holds 23600; pharma index up 1%https://t.co/IOchfgY9kA

— ET NOW (@ETNOWlive) February 6, 2025

The tariff jitters that shook stocks earlier in the week may have eased, but markets are eyeing incoming earnings for any company warnings. At the same time, tech and chip-related results are being scrutinized for signals about the strength of AI demand. Investors are keenly awaiting results from Alphabet. The report will test the view that Big Tech plans to keep spending big in AI. Ford shares slid despite a quarterly earnings beat after it pointed to tariffs as a headwind.

Similar trends for ⁦⁦@SPGlobalPMI⁩ (top) and ISMs (bottom), with manufacturing (blue) turning higher of late and services (orange) weakening … much bigger decline for S&P recently, though pic.twitter.com/v6fSN1QZjf

— Liz Ann Sonders (@LizAnnSonders) February 6, 2025

Its CEO warned that billions of dollars in auto industry profits could be wiped out if 25% tariffs on Mexico and Canada are sustained.

This chart shows that the dollar estimate for the 4th quarter has so far drifted higher by $1.5/share, in line with recent quarters. There’s nothing happening on the earnings front that gives me any reason to doubt that a sustainable earnings cycle remains underway. This should… pic.twitter.com/44tuHSoXTZ

— Jurrien Timmer (@TimmerFidelity) February 5, 2025

Shares of fitness equipment maker Peloton soared in pre-market trading after posting better-than-expected sales, thanks in part to its partnership with Costco. Oil and gas producer ConocoPhillips beat quarterly profit estimates on higher production. Meanwhile, investors are parsing Treasury Secretary Scott Bessent’s comment on Wednesday that Trump wants to focus on easing borrowing costs, rather than calling for the Federal Reserve to lower rates. The benchmark 10-year yield traded around its lowest levels since December, at about 4.43%.

Dow and S&P 500 futures inch

However, Trump’s tariffs pose a quandary for the Fed, as they could increase inflation, influencing their policy decisions. Jobless claims jumped to 219,000 last week, above estimates of 213,000. Investors were eyeing this data point for clues on Fed decision-making. Eli Lilly reported fourth quarter and full year earnings for 2024 on Thursday, with results largely beating Wall Street estimates, sending its stock slightly higher in pre-market trading. However, the company missed on GLP-1 sales. The pharma giant has had mixed results in the past few months; its GLP-1 tirzepatide drugs were removed from the FDA drug shortage list. Stocks in Europe and the UK moved higher on Thursday as investors welcomed a wave of earnings reports and an interest-rate cut from the Bank of England. London’s FTSE 100 index climbed 1.6% after the UK central bank’s rate cut to 4.5%, its lowest level in 20 months. The BOE’s first easing in three months came after a cooling in inflation. Meanwhile, the pan-European Stoxx 600 benchmark advanced 0.7%, setting its sights on a fresh record close. Germany’s DAX rose 0.9%, and the CAC in Paris moved up 1%. Oil prices are pulling back from a heavy sell-off after Saudi Arabia’s state oil company set a steep rise in March oil prices. Futures saw an immediate change in price, with Brent crude futures coasting up 14 cents to $74.75 a barrel and West Texas Intermediate crude rising 18 cents to $71.21 a barrel.