Stock market update: Dow, S&P 500, and Nasdaq futures hold steady as bank earnings are released and tariff decision approaches

US Stock Futures Remain Steady After Recent Declines

On Tuesday night, futures for US stocks showed little movement after a recent downturn pulled both the Dow Jones and S&P 500 away from their record highs.

Dow futures slipped by approximately 0.1%, while S&P 500 and Nasdaq 100 futures hovered just below unchanged levels. This followed a session where the Dow led the broader market lower.

Major Bank Earnings and Inflation Data in Focus

This week is marked by significant earnings reports from major banks. Bank of America, Wells Fargo, and Citigroup are all scheduled to announce their results before the market opens on Wednesday. Investors are also preparing for the release of December's producer price index, which will provide fresh insight into inflation trends. These updates come after JPMorgan Chase kicked off earnings season on Tuesday with results that fell short of expectations, triggering a sell-off in its shares.

Supreme Court Decision on Tariff Authority Awaited

Market participants are also closely monitoring the Supreme Court as it considers a high-profile case challenging former President Trump’s authority to impose tariffs. Although the first anticipated decision date passed without a ruling, the next scheduled release of opinions is set for Wednesday.

In a recent social media post, Trump described the case as critical to national security, warning, "If the Supreme Court rules against the United States of America on this National Security bonanza, WE’RE SCREWED!"

Federal Reserve Independence Under Scrutiny

On Tuesday, Trump intensified his criticism of Federal Reserve Chair Jerome Powell, raising fresh concerns about the central bank’s autonomy. This comes as the Justice Department has launched a criminal investigation into Powell. The move has sparked controversy, with Trump facing resistance from business leaders and fellow Republicans, as questions mount over the Fed's independence.

Credit Card Interest Rate Cap Proposal Impacts Financial Stocks

Financial companies are also feeling pressure after Trump renewed his call for a one-year 10% cap on credit card interest rates. Shares of Visa and Mastercard ended lower on Tuesday as investors assessed how such a policy could affect payment networks.