Traders work on the floor of the New York Stock Exchange (NYSE) on October 20, 2025 in New York.
Spencer Platt | Getty Images
Stock futures are slightly higher Monday evening after the previous session’s broad rally. Investors are awaiting a busy earnings week that could shed light on the trajectory of a market that continues to roar.
Futures contracts linked to the Dow Jones Industrial Average added 33 points, or less than 0.1%. S&P Futures And Nasdaq 100 Futures everyone hovered above the flat line.
In after-hours trading, Zions Bancorp shares were up 2% after the regional bank reported third-quarter earnings that were up from a year ago, despite the disclosure of some bad loans late last week that sparked a broader market rout.
All three major U.S. indexes rose Monday, lifted by rising Apple shares and optimism that the U.S. government shutdown may be coming to an end. National Economic Council Director Kevin Hassett told CNBC’s “Squawk Box” on Monday that the standoff — now the third longest government shutdown in U.S. history — “is likely to end this week” and that the White House was prepared to take stronger action to force an end to the standoff if no deal is reached this week.
Investors are watching a crucial week for third-quarter results, which accelerate in the coming days with Netflix And Coca-Cola is expected to report on Tuesday and Tesla is expected to report on Wednesday. The strong start to the earnings season so far appears to support the broader market rally, especially amid a blackout in economic data due to the government shutdown.
About three-quarters of the S&P 500 companies that have reported results so far have beaten expectations, according to Bank of America. Big tech companies are expected to account for a dominant share of profits as the artificial intelligence business remains strong, with the “Magnificent 7” companies expected to report year-over-year profit growth of 14.9%, compared to 6.7% for the remaining 493 companies in the index, according to FactSet.
“If Mag Seven manages to meet high earnings expectations…markets could see another move higher. Market action Friday and Monday could suggest investors are starting to place their chips in big tech ahead of next week’s major earnings reports,” said Anthony Saglimbene, chief market strategist at Ameriprise Financial. “Given high expectations and valuations, this group’s results could influence the broader direction of the market through the end of the year.”
“Earnings outperformance, combined with a stable outlook and strong AI tailwinds, could be welcomed as we move into earnings season, although some might argue that stock prices are already reflecting these positives,” Saglimbene added.
Also bolstering sentiment is the market’s anticipation of another quarter-percentage-point rate cut at the Federal Reserve’s meeting in late October. Consumer price index data due Friday is expected to provide insight into the state of inflation, which could influence the central bank’s next move.
Trade tensions between the United States and China are also in focus. President Donald Trump has threatened to impose additional 100% tariffs on Chinese imports starting November 1, but his optimistic comments about a possible trade deal with Beijing have allayed fears of an escalation in the trade war. Trump said Monday he hoped to reach a fair deal with Beijing after his upcoming meeting with Chinese President Xi Jinping later this month in South Korea.
