April 17, 2025 — U.S. stock futures rose modestly Thursday morning, buoyed by renewed optimism over trade negotiations between the United States and Japan, offering some relief after a bruising session the previous day.
Futures linked to the Dow Jones Industrial Average were up 0.9%, while S&P 500 futures advanced 1.1%. Contracts tied to the Nasdaq Composite climbed 1.2%, suggesting a positive open on Wall Street.
The uptick followed a broad market sell-off on Wednesday, driven largely by mounting investor concerns over the economic ramifications of President Biden’s trade policies, particularly the ongoing tariff tensions.
Federal Reserve Chair Jerome Powell, speaking in Chicago on Wednesday, issued a sobering assessment of the potential impact of tariffs on the U.S. economy. Powell warned that the levies could intensify inflation while simultaneously dampening economic growth, presenting what he called a “challenging scenario” for monetary policy.
Adding to investor uncertainty, Powell downplayed the possibility of an imminent interest rate cut, noting that the central bank would “wait for greater clarity” on developments in trade policy before making any adjustments.
Technology stocks were among the hardest hit during the midweek decline. Shares of Nvidia plunged after news surfaced that the semiconductor firm would be subject to new U.S. government restrictions on sales to China, raising further concerns about the sector’s exposure to geopolitical risks.
Investors on Thursday will closely watch Netflix, which is scheduled to release its quarterly earnings after the market close. The streaming giant has remained relatively resilient amid tech sector volatility and is seen as a potential bright spot, particularly as other Big Tech names face pressure from international trade disruptions.
Elsewhere, Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest contract chipmaker, reported a better-than-expected 60% jump in first-quarter net profit. The company credited the surge to soaring demand for semiconductors used in artificial intelligence applications.
As Wall Street eyes corporate earnings and trade developments, market sentiment remains sensitive to any signals from policymakers or corporate leaders that could sway the economic outlook.
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