US Stock Futures Fall Amid Trade Tensions

US stock futures fell overnight as investors tracked rapid-fire developments on the trade front, including new tariffs announced on 14 countries. Dow Jones Industrial Average futures declined by 87 points, or 0.19%, while S&P 500 futures and Nasdaq 100 futures dipped 0.16% and 0.15%, respectively. The moves come after a losing session for the major averages, with the Dow tumbling over 400 points, or 0.9%. Investors remain hopeful that the upcoming earnings season could be the catalyst for an S&P 500 at all-time highs to continue its advance.

US stock futures fell overnight as investors tracked rapid-fire developments on the trade front, including new tariffs announced on 14 countries. Dow Jones Industrial Average futures declined by 87 points, or 0.19%, while S&P 500 futures and Nasdaq 100 futures dipped 0.16% and 0.15%, respectively. The moves come after a losing session for the major averages, with the Dow tumbling over 400 points, or 0.9%.

The latest developments were driven by a looming deadline for reciprocal tariffs, with the 90-day pause set to expire on July 9. Administration officials have signaled that unless trade deals are reached, tariffs will revert to their "Liberation Day" levels on August 1 [1]. This has sparked concerns among investors, who recall the sharp stock market decline triggered by the initial tariff escalation in April.

Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick emphasized that tariffs could go back to the April 2 levels, which led to a significant market downturn. Lutnick noted that the president is currently determining the final rates and deals [2]. The uncertainty surrounding trade policy has also led to a cautious start to the trading week.

Investors remain hopeful that the upcoming earnings season could be the catalyst for the S&P 500 to continue its advance and reach new highs. The Dow, S&P 500, and Nasdaq Composite all hit record levels last week, but the recent tariff news has tempered optimism [3].

The yield on the 10-year Treasury note rose to 4.36% this morning, up from 4.34% at the end of last week. Gold futures were down 0.9% at $3,315 an ounce, while West Texas Intermediate futures slipped 0.2% to $66.85 per barrel [4].

The market is now awaiting the release of the Federal Reserve's minutes from their last policy meeting on Wednesday. Investors will also be closely watching for updates on the ongoing trade negotiations and the potential impact on the US economy.

References:
[1] https://fortune.com/2025/07/06/stock-market-today-dow-futures-trump-tariff-deadline-aug-1-liberation-day/
[2] https://www.tradingview.com/news/te_news:468110:0-us-futures-slip-as-tariffs-set-to-take-effect-august-1/
[3] https://www.investopedia.com/dow-jones-today-07072025-11767222
[4] https://economictimes.indiatimes.com/news/international/us/us-stock-market-futures-today-dow-jones-sp-500-nasdaq-futures-drop-as-tesla-plunges-7-and-trump-tariff-warning-shakes-wall-street/articleshow/122298910.cms?from=mdr