Dow Jones futures, along with S&P 500 futures and Nasdaq 100 futures, were lower ahead of Tuesday's open following Monday's stock market action. Up next, Federal Reserve Chairman Jerome Powell will provide Congressional testimony over the next two days.
Nvidia rallied 2.9% Monday, closing just shy of the 50-day moving average line. That's a key level of potential resistance to watch. A decisive retake of that level would be bullish for Nvidia stock's immediate prospects and could lead to another buy point.
A big earnings mover late Monday was Astera Labs. The artificial intelligence stock tumbled 6% despite the company's better-than-expected Q4 results.
Late Monday, President Donald Trump imposed 25% tariffs on imports of steel and aluminum to the U.S. A White House official said the tariffs would take effect March 4.
Trump also indicated that he's poised to announce more "reciprocal" tariff measures, possibly Tuesday or Wednesday, matching tariffs currently imposed by trading partners on their imports from the U.S. Further, Trump said that actions by Canada and Mexico, which he gave a one-month reprieve last week, to stem fentanyl smuggling across the border are "not good enough."
Notable companies reporting earnings this week include Robinhood, Shopify, AppLovin, DoorDash and Reddit.
On the economic front, two key inflation reports are due out this week: the consumer price index on Wednesday and Thursday's producer price index.
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Dow Jones Futures Today: Oil Prices, Treasury Yields
On Monday, the Dow Jones Industrial Average rose 0.4%, while the S&P 500 gained 0.7% and the Nasdaq advanced 1%.
Ahead of Tuesday's opening bell, Dow Jones futures fell 0.2% vs. fair value, as S&P 500 futures dropped 0.3%. Tech-heavy Nasdaq 100 futures were down 0.4% vs. fair value. Remember that overnight action in Dow Jones futures and elsewhere doesn't necessarily translate into actual trading in the next regular stock market session.
On Monday, the 10-year U.S. Treasury yield ticked higher to 4.49%. And oil prices rallied, as West Texas Intermediate futures settled around $72.40 a barrel.
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Tesla Slides; Amazon Retakes Buy Point
Six of the Magnificent Seven stocks ended higher Monday, as the Roundhill Magnificent Seven ETF rose 0.6%. It remains below the 50-day line.
Notably, Tesla skidded 3%, extending a losing streak to four sessions and closing at its lowest level since Dec. 3. The electric-vehicle giant is sharply below its 50-day line. That's a key level to watch for the Elon Musk-led company. Shares are about 28% off their 52-week high.
Amazon moved up 1.7%, retaking a 233 flat-base entry. And Meta Platforms edged higher, further above a 638.49 flat-base entry and extending a win streak to 16 sessions.
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What To Do Now
Now is an important time to read IBD's The Big Picture column. After Monday's session, be sure to check out today's updated exposure level.
On Monday's "IBD Live" show, the team discussed the current trading conditions of the stock market action.
Amid the weakness, investors should be utilizing diligent risk management, one of the four pillars of The IBD Methodology. It's important to monitor positions that are acting out of character and sell any stocks that trigger sell rules.
Nvidia, Apple, Palantir Reveal Investing Secrets — And This Routine
An essential resource for daily breakouts is IBD MarketSurge's "Breaking Out Today" list. It shows MarketSurge Growth 250 stocks that are breaking out past buy points. Meanwhile, the MarketSurge "Near Pivot" list shows more stocks nearing buy points in bases.
To find more stock ideas, check IBD Stock Lists like IBD 50, Big Cap 20 and Stocks Near A Buy Zone. These features identify bullish patterns and buy points and are available to check every day.
Be sure to follow Scott Lehtonen on X/Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
