U.S. stock futures advanced on Sunday evening, buoyed by news of a new trade agreement with the European Union. The gains set a positive tone for a pivotal week for markets, which will be dominated by a Federal Reserve policy meeting, quarterly earnings from major technology firms, and a slate of critical economic data.
Futures for the Dow Jones Industrial Average rose by 180 points, or 0.4%. S&P 500 futures and Nasdaq 100 futures also climbed 0.3% and 0.4%, respectively.
The optimism was partly fueled by President Donald Trump’s announcement of an agreement to lower tariffs with the EU to 15%, following earlier threats of a 30% tariff on most imported goods from the bloc.
This positive momentum follows a strong performance last week, driven by robust earnings reports and trade deals with Japan and Indonesia. On Friday, all three major indices finished with gains. The S&P 500 secured its fifth consecutive record close, its 14th for the year, while the Nasdaq Composite marked its 15th record close of 2025.
Investors are now bracing for the busiest week of the earnings season, with over 150 S&P 500 companies scheduled to report. Highlights include results from “Magnificent Seven” members Meta and Microsoft on Wednesday, followed by Amazon and Apple on Thursday. Corporate outlooks, particularly on artificial intelligence spending, will be closely scrutinized.
The Federal Reserve will also be in focus as it concludes a two-day policy meeting on Wednesday. While the central bank is widely expected to hold interest rates steady, market participants will analyze its statement for any signals of a potential rate cut at its September meeting.
Finally, a series of key economic reports will provide further insight into the state of the economy. The Personal Consumption Expenditures (PCE) price index, the Fed’s preferred inflation gauge, is due Thursday. The week culminates with the July jobs report on Friday, which economists forecast will show the U.S. economy added 115,000 jobs. Other labor market data, including the JOLTS survey and ADP’s private payrolls report, will also be released.
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