Dow Jones futures will open Sunday evening, along with S&P 500 futures and Nasdaq futures. President Donald Trump announced Saturday that he'll impose 30% tariffs on the European Union and Mexico, part of his renewed tariff hike push. Inflation reports this week could show a bigger tariff impact. Earnings season ramps up with JPMorgan Chase, Netflix and Nvidia chipmaker Taiwan Semiconductor among the notable names.
The stock market rally retreated last week amid big Trump tariff hikes, but held near highs. But many growth stocks, especially speculative plays, cybersecurity and software, suffered significant losses.
Google-parent Alphabet, Advanced Micro Devices and Urban Outfitters are three stocks setting up.
JPMorgan stock, Nvidia and Netflix are on IBD Leaderboard. Amazon stock is on SwingTrader. Urban Outfitters, Netflix, Nvidia and Taiwan Semiconductor stock are all on the IBD 50. Netflix stock is on the IBD Big Cap 20. Nvidia stock is on IBD Sector Leaders. AMD was Friday's IBD Stock Of The Day.
Dow Jones Futures Today
Dow Jones futures open at 6 p.m. ET on Sunday, along with S&P 500 futures and Nasdaq 100 futures.
Dow futures were indicated modestly lower Saturday as Trump set high tariffs for the European Union and Mexico.
Remember that overnight action in Dow futures and elsewhere doesn't necessarily translate into actual trading in the next regular stock market session.
Best Growth Stocks To Buy And Watch
Trump Tariffs: EU, Mexico Added
President Trump said Saturday that the U.S. will impose 30% tariffs on the EU and Mexico, starting Aug. 1, joining many other countries. The tariff letters generally were roughly in line with the April 2 "reciprocal" tariffs that Trump paused for 90 days. But Brazil, Canada and Mexico, spared on April 2, are getting big new duties now. Trump slapped a huge 50% tariff on Brazil on political grounds. Canada faces a 35% tariff, though reportedly with an exception for goods that fall under the U.S.-Mexico-Canada Agreement. It's unclear if Mexican goods that are part of the USMCA.
Further, Trump said last week that he might raise the 10% baseline tariff to 15%-20%.
Even without that higher baseline, Trump tariffs are set to be higher, especially on a trade-weighted basis, than under the April 2 Liberation Day levels.
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Stock Market Rally
The S&P 500 and Nasdaq hit all-time high levels on Thursday before edging lower for the week. The Dow Jones fell solidly, but isn't far from record highs either. The Dow Jones Industrial Average gave up 1% in last week's stock market trading. The S&P 500 index lost 0.3%. The Nasdaq composite fell about 0.1%. The small-cap Russell 2000 fell 1.3%.
Investors may believe that the latest round of Trump tariffs will be pushed back or modified. But as long as the stock market is near highs, President Trump may feel emboldened.
AI chip names generally did well. The VanEck Vectors Semiconductor ETF rose 1.4%. Nvidia stock is the No. 1 holding with Taiwan Semiconductor and AMD also key members.
But many growth names struggled, notably cybersecurity plays and speculative growth.
The Innovator IBD 50 ETF tumbled 3.7% for the week, with CoreWeave and TSS among the highfliers that suffered major losses. In six of the last 12 sessions, the FFTY has suffered downside reversals, closing down more than 1% each time. After the first four instances, growth stocks quickly rebounded. But the FFTY suffered back-to-back big losses to close out the week. Meanwhile The iShares Expanded Tech-Software Sector ETF sank 3.4%, but many software names suffered bigger losses.
The 10-year Treasury yield rose eight basis points to 4.42%.
U.S. crude oil futures rose 2.2% to $68.45 a barrel last week.
Other ETFs
Among non-tech ETFs, the SPDR S&P Metals & Mining ETF jumped 4.4%, the 14th straight weekly gain, to a 14-year high. U.S. Global Jets ETF vaulted 9%. SPDR S&P Homebuilders ETF leaped 6.3%. The Energy Select SPDR ETF rallied 5.1%.
The Health Care Select Sector SPDR Fund advanced 0.3%, with JNJ stock the second-largest holding. The Industrial Select Sector SPDR Fund climbed 1.8%, with GE Aerospace stock the No. 1 holding and 3M a component.
The Financial Select SPDR ETF fell 0.4%. JPMorgan stock, Goldman Sachs, Wells Fargo, Citigroup, Bank of America, Charles Schwab, BlackRock and American Express are all notable XLF holdings.
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Stocks Near Buy Points
Google stock edged up 0.4% to 180.26 last week, but now has a 181.23 cup-with-handle buy point. The relative strength line is still well off highs, going sideways over the past few months, as Google hasn't outperformed the S&P 500.
AMD stock jumped 6.2% last week to 146.42, nearing a 147.75 buy point from a "handle" that's far too low to be proper in a long, deep consolidation. The overhead resistance is a risk.
Urban Outfitters stock fell 1.75% to 72.28. But URBN now has a 74.45 buy point from a shallow cup-with-handle base, according to MarketSurge. The base formed after a strong May, which included an earnings gap.
Upcoming Earnings
JPMorgan, Netflix and Taiwan Semiconductor are all extended from buy zones, though NFLX stock might offer a 50-day/10-week line buying opportunity after earnings.
Taiwan Semi earnings and especially its guidance on AI chips as well as its own capital spending forecast, could have a big impact on the chip sector and AI chip plays, including AMD.
JPMorgan headlines a huge week for big financials, with Goldman Sachs, Bank of America, Wells Fargo, Citigroup American Express, Travelers Cos., Charles Schwab and BlackRock all due. Most of these are extended, including JPMorgan.
Johnson & Johnson, chip-gear giant ASML and 3M also are on tap. 3M is just below a buy point while ASML arguably could offer a post-earnings buying opportunity.
JPMorgan, Goldman, American Express, Travelers, J&J and 3M are all Dow giants.
Inflation Data Due
Investors will get the June CPI inflation report on Tuesday and PPI inflation data on Wednesday. Core CPI inflation is expected to pick up to 3% vs. a year earlier, partly as tariffs feed their way into the data. Retail sales and several manufacturing-related reports also are on tap.
What To Do Now
The stock market rally is at highs, only grudgingly giving up ground amid Trump's latest round of big tariff hikes. That could change, but investors should pay attention to what the market is doing, not what you expect it to do.
There are some stocks setting up including Google, AMD and Urban Outfitters. Investors can consider incremental buys, but if the market is in the midst of a pause or pullback, breakouts and other early entries may be at higher risk of faltering.
Many tech growth stocks have struggled recently, often right after flashing buy signals. So investors should be careful about buys in this space.
Work on watchlists, casting a wide net so you're not just focused on tech. Have your game plan for scaling out as well.
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