Dow Futures are in pursuit of a definitive trend. A series of corporate earnings reports and a decision regarding interest rates from the Federal Reserve are capturing the attention of Market, alongside the looming threat of a federal government shutdown due to the violent unrest in Minnesota. In this context, gold remains near its all-time highs while oil experiences a pullback from its recent advances.

On Tuesday, Dow futures fluctuated around the neutral point, as market participants brace for a series of corporate earnings reports and the imminent decision regarding interest rates from the Federal Reserve. As of 03:27, the Dow futures contract experienced a decline of 31 points, representing a decrease of 0.1%. In contrast, other futures saw an increase of 20 points, or 0.3%, while Nasdaq 100 futures recorded a gain of 146 points, equivalent to 0.6%. The primary indices experienced gains in the previous session, with the benchmark S&P 500 and the technology-focused index both increasing for the fourth consecutive session. Both indices reached their peak levels in more than a week and are currently experiencing their most extended series of positive sessions since December. Driving the increases were mega-cap technology stocks, including names like , and which are set to announce quarterly earnings later this week. Markets are preparing for the Federal Reserve’s interest rate announcement scheduled for Wednesday. Reports indicate that the central bank is expected to maintain borrowing costs at their current levels following its recent two-day meeting, supported by indications of relative strength in the U.S. economy. The market is closely monitoring the decision regarding President Donald Trump’s selection for the successor to Fed Chair Jerome Powell, whose term concludes in May.

Nonetheless, the specter of a U.S. government shutdown loomed over the commencement of the trading week, following yet another tragic shooting in Minneapolis that incited a standoff among legislators in Washington. In the wake of the House of Representatives’ recent approval of a series of bills aimed at funding the federal government, it was anticipated that the Senate would align with this legislative momentum. Democrats in the Senate were perceived as eager to prevent a detrimental shutdown after experiencing a historically prolonged closure last year. The unrest in Minneapolis, particularly the shooting death of a 37-year-old man by a U.S. Border Patrol agent, has ignited calls from Democrats for enhanced restrictions and oversight of the Department of Homeland Security, a key agency involved in the immigration policies of the Trump administration. Importantly, even with a Senate majority, President Trump’s Republican Party requires assistance from Senate Democrats to prevent a new spending impasse. As the January 31 deadline approaches for Trump to enact a funding package, the president seems to be making efforts to de-escalate tensions, having characterized a recent phone conversation with Minnesota Governor Tim Walz as “very good.” Media reports indicate that Border Patrol Chief Gregory Bovino is poised to depart from the state, according to statements from administration officials. “The potential for a compromise to avert a partial shutdown on [February 1] is uncertain, yet current investor sentiment appears relatively unconcerned regarding this matter (at least for now),” analysts noted in their commentary.

Focus shifts once again to the vitality of corporate America, with a series of company earnings set to be disclosed in the upcoming days. Although the results from major technology firms are poised to dominate the headlines this week, Tuesday will still feature several important reports prior to the opening of U.S. stock markets. Healthcare giant, aerospace firm, and planemaker are set to disclose their quarterly earnings prior to the market’s opening, alongside the car manufacturer and shipping company. Recent data have suggested that the U.S. economy is becoming “K-shaped,” a scenario in which high-income households and corporations are accounting for the bulk of overall activity, while those on lower wages grapple with cost of living pressures and a tepid job market. The inaugural earnings season of 2026 may offer valuable insights regarding the potential continuation of this trend throughout the remainder of the year.

Gold prices increased on Tuesday following a succession of record highs, driven by apprehensions regarding Trump’s trade policies and escalating global geopolitical tensions. Market participants exhibited a broadly risk-averse stance in anticipation of the upcoming Federal Reserve meeting this week. Spot gold last increased by 1.4% to $5,079.73 an ounce, whereas gold futures for April delivery decreased by 0.2% to $5,115.19 per ounce. Spot gold reached an unprecedented high of $5,111.11 per ounce on Monday. Other precious metal prices exhibited positive momentum on Tuesday. Spot silver experienced an increase of nearly 4% at $107.9350 per ounce following a record high exceeding $111 per ounce, while spot platinum rose by 2.7% to $2,656.27 per ounce. In conjunction with a recent warning of a potential trade embargo on Canada, Trump announced on Monday evening his intention to increase tariffs on South Korean goods to 25%, asserting that Seoul was lagging in implementing a recent trade agreement. As Trump endeavors to alter the dynamics of global trade, various nations are increasingly exploring alternatives to the United States. On Tuesday, India and the European Union formalized a free trade agreement that represents 25% of global gross domestic product. Trade between India and the EU reached $136.5 billion in the fiscal year ending March 2025. The combined entities account for approximately 20% of global trade and roughly 25% of the world’s population.

Oil prices experienced a modest decline, relinquishing a portion of their recent gains. However, the losses have been moderated by supply disruptions caused by severe winter conditions in the U.S. The price dropped 0.5% to $64.46 a barrel, while U.S. West Texas Intermediate crude futures decreased by 0.4% to $60.38 a barrel. Both benchmarks recorded weekly increases of 2.7% last week, concluding on Friday at their peak levels since January 14. The decline in oil prices was moderated by a reduction in production in the U.S., attributed to a severe winter storm that impacted energy infrastructure and power grids nationwide. U.S. oil producers are projected to have experienced a decline of up to 2 million barrels per day, equating to approximately 15% of national production over the weekend.