Traders work on the floor of the New York Stock Exchange on the last day of trading for the year on Dec. 31, 2024 in New York City.
Spencer Platt | Getty Images
Stock futures rose early Monday, as investors braced for a data-packed week ahead and eyed news that President Donald Trump may announce a new round of tariffs.
Futures tied to the Dow Jones Industrial Average gained 191 points, or 0.4%. S&P 500 futures ticked up 0.4%, while Nasdaq-100 futures advanced nearly 0.7%.
Trump told reporters on Sunday that he’s planning to announce a blanket 25% tariff on all steel and aluminum imports on Monday. Trump did not specify when the tariffs would be imposed and noted that he would also issue retaliatory tariffs on countries that tax U.S. imports. The news comes as Trump’s previously announced duties on China are set to go into effect at midnight on Sunday.
Steel and aluminum stocks popped in the premarket. U.S. Steel and Nucor were both up 8%, while Cleveland-Cliffs climbed 9%. Alcoa traded 4% higher.
The threat of more tariffs comes ahead of a slew of economic data this week. The January consumer price index report is due out Wednesday at 8:30 a.m. ET, followed by initial weekly jobless claims and the producer price index on Thursday. Federal Reserve Chair Jerome Powell will also speak before Congress on Monday morning.
“Steep tariffs and heightened policy uncertainty could push businesses to increasingly adopt wait-and-see behaviors and pull back on hiring,” said Lydia Boussour, senior economist at EY-Parthenon. “This could lead to a more severe job slowdown, weaker income and restrained consumer spending amidst much higher inflation.”
The market remains jittery on a mix of inflation worry coupled with concern over how Trump’s plan for tariffs could adversely affect the U.S. economy. Investors will also look toward more major corporate earnings out this week, including Coca-Cola, Unilever and Applovin.
McDonald’s on Monday reported disappointing quarterly revenue, but still saw its shares jump roughly 2.5% before the bell.
