Stock futures increased slightly on Tuesday evening following uncertainty surrounding President Donald Trump’s tariffs, which had sent major averages on a volatile ride. Investors are also anticipating a consumer inflation report scheduled for Wednesday.
Futures linked to the Dow Jones Industrial Average rose by 83 points, or 0.2%. S&P 500 futures climbed approximately 0.3%, while Nasdaq 100 futures gained around 0.4%.
The after-hours activity followed a tumultuous day for tariff policy, resulting in losses for all three major averages. At its lowest point, the S&P 500 was down 10% from its closing high. The 30-stock Dow closed nearly 480 points, or 1.1%, lower, and the Nasdaq Composite declined by roughly 0.2%.
Earlier on Tuesday, Trump announced he would double import duties on Canadian steel and aluminum imports to 50% starting Wednesday. This decision was a response to Ontario’s decision to impose a 25% levy on electricity exported to the U.S. Later, Ontario Premier Doug Ford stated he would pause the surcharge. White House trade advisor Peter Navarro confirmed that Trump would not raise the Canadian steel and aluminum tariffs to 50%, but the 25% duty on these metals would still take effect on Wednesday.
Traders are now focused on Wednesday’s consumer price index reading for February. Economists polled by Dow Jones expect the CPI to have risen 0.3% last month, with headline inflation growing 2.9% from 12 months earlier.
These results will influence the Federal Reserve’s next policy steps as market concerns about inflation and slowing growth resurface.
“We’re just waiting on some kind of policy response, either from the Fed or the administration,” said Warren Pies, co-founder of 3Fourteen Research. “I think that’s going to be a little bit slow coming. And so I don’t think it’s time to buy the dip just yet.”
— news from CNBC