U.S. Stock Futures Rise as Nvidia Earnings Take Center Stage

  • U.S. stock futures gained on Monday, as investors anticipated Nvidia’s (NASDAQ: NVDA) quarterly earnings, a key event that could shape AI-driven market sentiment. Meanwhile, Germany’s conservatives secured the most votes in a crucial election, and Alibaba (NYSE: BABA) announced a $52.4 billion AI and cloud investment.

    1. U.S. Stock Futures Rebound

    \ud83d\udcc8 Dow futures: +164 points (+0.4%)
    \ud83d\udcc8 S&P 500 futures: +19 points (+0.3%)
    \ud83d\udcc8 Nasdaq 100 futures: +50 points (+0.2%)

    Stocks ended lower last week, weighed by:

    • Weak business activity data: U.S. business activity fell to a 17-month low, reflecting economic slowdown fears.
    • Declining consumer sentiment: Consumer confidence hit a 15-month low, as households grew worried about inflation and tariffs under the Trump administration.

    Upcoming Economic Data to Watch

    • PCE Price Index (January, due Friday): A key inflation gauge closely monitored by the Federal Reserve.

    2. Nvidia’s Highly Anticipated Earnings (Wednesday, After Market Close)

    Nvidia’s earnings will be a key market driver this week, as investors assess:
    \u2705 AI growth outlook: Nvidia has been a bellwether for AI demand, surging 550% in two years.
    \u2705 Competition risks: Chinese start-up DeepSeek’s low-cost AI model caused a 17% Nvidia stock drop in January, erasing $593 billion in market cap—a record one-day loss in Wall Street history.

    Investors will be looking for guidance on AI sustainability and Nvidia’s response to competition.

    \ud83d\udca1 For insights into Nvidia’s financial performance, explore FMP’s Full Financials API.


    3. Germany’s Election & Market Impact

    Germany’s Christian Democratic Union (CDU) and Bavarian allies secured the most votes, reducing concerns about political instability.

    \ud83d\udd39 Euro briefly hit $1.0528, then pulled back to $1.0482 (+0.2%).
    \ud83d\udd39 DAX Index rose 0.7%, nearing record highs.
    \ud83d\udd39 Fiscal uncertainty lingers as debt brake reform remains challenging.

    For global market tracking, use FMP’s Sector P/E Ratio API.


    4. Alibaba’s $52.4B AI & Cloud Investment

    Alibaba (NYSE: BABA) unveiled a $52.4 billion investment plan, aimed at:

    • Expanding AI infrastructure and cloud computing.
    • Competing with global cloud leaders like Amazon (NASDAQ: AMZN) and Microsoft (NASDAQ: MSFT).
    • Strengthening China’s AI ecosystem amid rising U.S.-China tech competition.

    \ud83d\udcca Track Alibaba’s financials with FMP’s Annual Reports API.


    5. Berkshire Hathaway Hits Record Profits

    \ud83d\udce2 Warren Buffett’s Berkshire Hathaway (NYSE: BRKa):

    • Posted a record full-year profit for the third straight year.
    • Grew cash reserves to $334.2 billion.
    • Buffett confirmed Greg Abel as his successor, saying, "It won’t be long."

    \ud83d\udcb0 Check Berkshire Hathaway’s key financial metrics via FMP’s Key Metrics API.


    Market Outlook

    \ud83d\udccc Short-term catalysts:

    • Nvidia earnings will set the tone for AI and tech stocks.
    • PCE inflation data could impact Fed rate expectations.

    \ud83d\udccc Key risks:

    • U.S.-China tensions over AI dominance.
    • Fiscal uncertainty in Germany.
    • Market reaction to Trump’s tariff policies.

    \ud83d\udd0d Stay ahead with real-time financial data using FMP’s APIs.