Wall Street Rally Stalls After Six-Week S&P Surge

U.S. stock futures showed cautious gains as investors balanced optimism from strong earnings reports by companies like Snowflake and Urban Outfitters with concerns over rising U.S. debt and tariff pressures. The S&P 500, Dow Jones, and Nasdaq experienced volatility, with the S&P 500 snapping a six-day winning streak amid a selloff in major tech stocks, despite Tesla's gains following Elon Musk's CEO commitment. Market optimism from easing trade tensions and President Trump's tax and tariff proposals has been tempered by warnings from economists and Federal Reserve officials about persistent economic drag and inflation risks. Bitcoin's surge to new highs added to market tensions, while upcoming economic data on manufacturing, services, jobless claims, and housing sales are keenly awaited for further direction. Investors remain cautious due to Moody's recent U.S. credit downgrade and mixed corporate earnings reports, reflecting uncertainty about the sustainability of the recent market rally sparked by tentative trade agreements. Bond yields continue to rise, underscoring concerns about inflation and economic growth amid the complex interplay of trade policies and fiscal measures.