Dow Futures remain subdued, as concerns regarding potential disruptions from artificial intelligence cast a shadow over sentiment in anticipation of significant earnings reports this week. President Donald Trump’s new 10% global tariffs are set to take effect after a Supreme Court ruling invalidated his emergency-powers levies. Paramount Skydance reportedly submits a higher bid, while the company is due to report its latest quarterly returns.

Dow Futures remained slightly above the flatline on Tuesday as investors prepared for the upcoming release of significant corporate earnings, including from a prominent player in the artificial intelligence sector. By 03:03, the Dow futures contract had increased by 47 points, or 0.1%, while other futures had advanced by 10 points, or 0.1%, and additional futures had risen by 38 points, or 0.2%. The primary indices declined in the previous session, influenced by persistent concerns regarding the impact of emerging AI models on a range of businesses. Some analysts indicated that the recent decline was driven by a report from Citrini Research, which suggested a troubling hypothetical scenario for the upcoming years. This scenario envisions AI triggering a surge in mass unemployment among white-collar workers, reducing consumer spending, increasing loan defaults, and ultimately resulting in economic contraction. Citrini emphasised that the report was a “scenario, not a prediction,” but this clarification did little to alleviate the concerns of a market already apprehensive about potential pressures on mega-cap tech companies that have heavily invested in AI infrastructure. “As has been the case for weeks, AI is clearly a net negative for the equity market as hyperscalers face pressures from free cash flow concerns, while disruption anxieties significantly impact software and various other sectors,” analysts noted.

The new global trade tariffs implemented by U.S. President Donald Trump commenced at a 10% rate at midnight on Tuesday, following a Supreme Court ruling last week that invalidated his “reciprocal” levies. The 10% level was conveyed via the U.S. Customs and Border Protection’s messaging service and is lower than the 15% tariff promoted by Trump following the decision, which determined that Trump’s invocation of emergency economic powers to impose extensive surcharges on countries globally was unlawful. However, the White House is in the process of issuing a formal order to increase the rate to 15%, as reported. Importantly, the new tariffs being implemented by Trump under Section 122 of the 1974 Trade Act will remain in effect for a duration of 150 days. Congress will subsequently be required to determine the outcome of the tariffs at the conclusion of this period. In light of the ambiguous prospects for Trump’s trade agenda, ambiguity has enveloped the trajectory for particular agreements his administration has established with various trading partners. Trump, faced with reports of certain countries reconsidering the validity of these accords following the Supreme Court ruling, cautioned them in a social media post against “playing games.”

Paramount Skydance has raised its bid for Warner Bros Discovery, as reported by Reuters, in an effort to convince the HBO Max owner to abandon its agreement. According to reports, Paramount’s revised proposal enhances its original offer of $30 per share, amounting to approximately $108.4 billion, for the entirety of Warner Bros. Warner Bros previously indicated that an earlier proposal from Paramount did not adequately reflect the company’s value, and set a seven-day deadline for the CBS parent to submit a revised offer by February 23. Netflix has secured an agreement with Warner for its studios and streaming assets, valued at $27.75 per share in cash, amounting to approximately $82.7 billion. In a separate report, Variety indicated that Warner Bros is expected to consider the Paramount offer, even as it endeavours to convince shareholders to support the agreement with Netflix. The merger battle centers on the control of Warner Bros properties, encompassing profitable franchises such as “Game of Thrones” and “Harry Potter.”

Home Depot is set to announce its most recent quarterly earnings prior to the market opening this Tuesday. The home-improvement products chain has previously indicated disappointing projections for comparable sales growth and profitability in its 2026 fiscal year, as the company contends with lacklustre demand for high-value items. During an investor day in December, finance chief Richard McPhail indicated that the recent discomfort among customers affected by cost-of-living pressures is expected to persist into this year, cautioning that there has not been “a catalyst or an inflection in housing activity.” High home prices and subdued hiring have led to volatile U.S. housing demand in recent months, despite indications of easing in interest and mortgage rates. Home Depot stated that it anticipates same-store sales to grow within the flat to 2% range in its fiscal 2026, while adjusted per-share income is projected to remain flat to increase by 4%.

Oil prices approached seven-month highs in anticipation of a new series of U.S.-Iran nuclear negotiations scheduled for later this week. Futures increased by 0.2% to $71.28 a barrel, while U.S. West Texas Intermediate crude futures advanced by 0.3% to $66.51 a barrel. Both contracts are presently trading at levels not observed since early August 2025. Iran and the U.S. are poised to engage in a third round of nuclear discussions on Thursday in Geneva, as apprehensions mount regarding the potential for military conflict, with Washington advocating for the cessation of Iran’s nuclear program.