Nasdaq futures slid on Tuesday, pointing to more losses for tech stocks amid worries over President Trump’s revived tariff threats and a potential US toughening of China curbs.
Contracts on the Nasdaq 100 (NQ=F) dropped 0.4% on the heels of a tech-led selloff on Monday. S&P 500 futures (ES=F) shed 0.2%, while Dow Jones Industrial Average futures (YM=F) inched down 0.1%.
Trump’s signal that his trade overhaul isn’t over has unsettled markets wondering about the impact on growth prospects. Investors are parsing his brief comment that tariffs on Mexico and Canada will go forward next week. Meanwhile, his administration is said to be pursuing tougher chip curbs on China, after Trump issued a directive to limit investments between it and the US.
The benchmark 10-year Treasury yield (^TNX) fell to 4.33% amid growing belief that tariffs will weaken the US economy, which prompted traders to bump up bets on interest-rate cuts.
At the same time, focus on Nvidia’s (NVDA) upcoming earnings intensified in light of the US pullback from China. The AI chipmaker is already facing headwinds from tariffs and export controls, and its report on Wednesday is being closely watched as a health check on AI demand. Shares of Nvidia fell 1% in pre-market trading, coming off a 3% slide the previous day.
Elsewhere in earnings, Home Depot’s (HD) fourth quarter results are set for release before the bell, amid hopes that the home improvement chain is starting to turn things around after cash-strapped Americans held off from shopping.
Wall Street is also waiting for fresh US consumer confidence data on Tuesday morning, after downbeat readings on consumer sentiment and inflation expectations last week helped spur a sharp drop in stocks.
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