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Wall Street Futures Gain on U.S.-EU Trade Deal Ahead of Fed Meeting, Tech Earnings

Wall Street Futures Gain on U.S.-EU Trade Deal Ahead of Fed Meeting, Tech Earnings. Source: Carlos Delgado, CC BY-SA 3.0, via Wikimedia Commons

Wall Street futures edged higher Sunday evening as the United States and European Union announced a framework trade agreement, boosting investor sentiment ahead of a pivotal week featuring the Federal Reserve’s policy decision, key inflation data, and earnings from major tech giants.

S&P 500 futures rose 0.4% to 6,447.25, Nasdaq 100 futures climbed 0.5% to 23,528.75, and Dow Jones futures added 0.3% to 45,223.0 by 20:16 ET (00:16 GMT). The rally follows last week’s record closes driven by robust corporate earnings and easing trade tensions.

President Donald Trump confirmed the U.S.-EU deal includes a 15% tariff on EU goods and major European commitments to purchase $750 billion in U.S. energy and invest $600 billion into the U.S. economy. Analysts note that while details remain pending, the agreement signals progress compared to earlier concerns of 30% levies.

The Fed begins its two-day policy meeting Tuesday, with rates expected to remain at 4.25%–4.5%. Markets will watch for clues on potential rate cuts later this year. Key data releases include June’s PCE price index, the Fed’s preferred inflation gauge, along with U.S. labor figures such as JOLTS, ADP payrolls, and Friday’s July jobs report.

Earnings from “Magnificent Seven” tech stocks, including Apple, Microsoft, Meta, and Amazon, are also set to drive market volatility. The combination of trade developments, monetary policy signals, and corporate results could shape market momentum heading into August as investors assess inflation risks and global economic trends.

This week’s events mark a critical juncture for Wall Street as traders balance trade optimism with caution over upcoming policy and economic data.

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