U.S. stock index futures traded flat Tuesday morning as investors adopted a cautious stance ahead of a pivotal week for Big Tech earnings and key economic signals. After a record-breaking close for the S&P 500 and Nasdaq on Monday, market participants are now eyeing quarterly results from several tech giants and an upcoming speech by Federal Reserve Chair Jerome Powell.

Muted Start Amid Record Highs

Futures for the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite were little changed in early trading. This follows Monday’s strong close where the S&P 500 rose to a new all-time high near 6,315, and the Nasdaq Composite climbed above 21,000 for the first time. The Dow, meanwhile, continues to lag modestly behind its record high.

All Eyes on the ‘Magnificent Seven’

This week will bring a wave of earnings from major tech firms, including Alphabet (Google) and Tesla on Wednesday, followed by Microsoft, Apple, Amazon, Meta, and Nvidia in the days ahead. These companies, collectively dubbed the “Magnificent Seven,” have powered much of the market’s gains in 2025, contributing to the S&P 500’s 19% surge this quarter.

While over 80% of S&P 500 companies that have reported so far have beaten earnings estimates, revenue growth remains tepid. Analysts warn that high valuations and slowing momentum may signal a shift toward more selective, stock-specific investing.

Individual Movers

Verizon jumped more than 4% on Monday after the telecom giant raised its full-year earnings forecast.

Cleveland-Cliffs soared nearly 12% following a stronger-than-expected quarterly report, lifting sentiment in the industrial sector.

Macro Focus: Powell and Trade

Investor focus is also turning to Fed Chair Jerome Powell, who is scheduled to speak Wednesday morning. Markets will be looking for any clues regarding interest rate policy, particularly in light of recent inflation moderation.

On the global front, optimism over U.S.–EU trade negotiations has helped bolster sentiment, although the threat of new tariffs as soon as August 1 continues to cast a shadow.

With benchmark indices hovering at record levels, this week could be a turning point. Strong tech earnings could justify current valuations and push markets even higher. However, any disappointments especially from the megacap names could spark volatility. Meanwhile, Powell’s remarks will be closely scrutinized for signs of a shift in the Fed’s policy path.

For now, Wall Street is in wait and see mode, with investors balancing optimism with caution.