U.S. stock futures edged lower early Tuesday as investors braced for the Federal Reserve’s policy meeting, the first since President Trump made the reciprocal tariffs public in early April. Futures on the Nasdaq 100 (NDX), the Dow Jones Industrial Average (DJIA), and the S&P 500 were down 0.72%, 0.32%, and 0.48%, respectively, at 4:02 a.m. EST, May 6.
In Monday’s trading session, the S&P 500 broke its nine-day winning streak, the longest since 2004. Overall, the S&P 500, the Nasdaq Composite (NDAQ), and the Dow Jones dropped 0.6%, 0.7%, and 0.2%, respectively.
Uncertainty about tariffs continued to influence market sentiment. Recently, Treasury Secretary Scott Bessent indicated that some trade deals might be closed soon, however, no official agreements have been finalized.
In key company news, Palantir Technologies (PLTR) stock was down 9% in after-hours trading, despite reporting first-quarter revenue that surpassed expectations. Also, shares of toymaker Mattel (MAT) fell 2.5% after management paused its 2025 full-year guidance, citing tariff uncertainty.
The market’s focus now shifts to the Federal Reserve’s two-day policy meeting, which starts today, with the interest rate decision due on Wednesday. Although a rate cut is unlikely, investors will be closely watching Fed Chair Jerome Powell’s comments about the economy, especially amid tariff concerns and pressure from President Trump to lower rates. Apart from this, the U.S. trade deficit data for March will be released today.
Several major companies are set to release their earnings today, such as DoorDash (DASH), Datadog (DDOG), ADM (ADM), Devon Energy (DVN), Energy Transfer (ET), Electronic Arts (EA), Rivian Automotive (RIVN), Lucid Motors (LCID), Advanced Micro Devices (AMD), and Super Micro Computer (SMCI).
Meanwhile, the U.S. 10-year treasury yield was up, floating near 4.367%. Simultaneously, WTI crude oil futures are trending higher, hovering near $58.38 per barrel as of the last check.
At the same time, the Gold Spot U.S. Dollar Price rose to $3,370 per ounce on Tuesday, due to renewed demand for safe-haven assets after fresh U.S. tariff announcements.
Elsewhere, European indices opened higher today, as investors kept a close watch on corporate earnings and changes in U.S. trade policy.
Asia-Pacific Markets Ended Higher
Most of the Asia-Pacific indices were in the green today on U.S.-China trade talk hopes, which will potentially ease tensions between the two economies. Meanwhile, investors remain cautious ahead of the Fed’s policy decision.
At the same time, the Hong Kong index was up 0.72%. Further, China’s Shenzhen Component and Shanghai Composite indices closed higher by 1.13% and 1.84%, respectively.
Investors should note that the Japanese market was closed today for public holidays.
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