Stock futures faced a lower trajectory on Monday night as investors eagerly awaited key earnings announcements from retailers and chipmaker Nvidia. This week holds significant importance as these earnings reports could shape the market's direction.

Unraveling the Impact of Earnings on Stock Futures

Monday Night's Stock Futures Performance

Futures tied to the Dow Jones Industrial Average witnessed a loss of 0.08%. S&P futures shed approximately 0.05%, and Nasdaq 100 futures traded down by 0.05%. This initial dip in futures indicated a cautious sentiment among investors. In after-hours trading, Trump Media & Technology Group saw a decline of about 4%, giving back earlier gains. The news of the company's talks to buy cryptocurrency trading firm Bakkt had an impact on its stock. On the other hand, Walmart shares rose 0.8% ahead of its earnings release due before the bell on Tuesday. This shows the varied reactions of different stocks in the market.Investors are particularly focused on Nvidia's results, which are expected to be posted on Wednesday afternoon. It is seen as the next major catalyst for the market. The eyes of investors will be on how much demand the company signals for its Blackwell AI chips. After the market closed, the stock climbed marginally, but it had shed 1.3% in Monday's regular session. This shows the volatility and uncertainty surrounding Nvidia's performance.About 93% of S&P 500 companies have already reported their quarterly results. A significant three-quarters of them exceeded expectations, and more than 60% beat revenue estimates, according to FactSet. This indicates a generally positive performance by a large number of companies.

Latest Trading Session's Stock Movements

Stocks made a comeback in the latest trading session. The tech-heavy Nasdaq Composite gained 0.6%, snapping a four-day losing streak. The S&P 500 added about 0.4%, showing some signs of recovery. However, the Dow Jones Industrial Average fell about 55 points, or 0.1%, marking three consecutive down sessions for the 30-stock index. Last week, a post-election selloff was triggered by concerns about the future path of interest rates given a strong economy and labor market. This highlights the influence of external factors on the stock market.Although some on Wall Street view the broader market as expensive, several major firms have hiked their S&P 500 targets for 2025. They cite the longer-term rate-cutting optimism and hopes of a more business-friendly presidency ahead as reasons for the increase. This shows the different perspectives among market participants.Andrew Slimmon, the head of the applied equity advisors team at Morgan Stanley Investment Management, said, "The market has been in an uptrend because of a strong economy, the Fed continually cutting rates, and strong Q3 earnings. The market is set up well for equities, and investors are not going to see the pullback they want." This provides insights into the factors driving the market's upward trend.

Super Micro Computer's Share Price Surge

Super Micro Computer made headlines on Monday by announcing that it hired BDO as its new independent auditor. This led to a more than 37% increase in its shares in after-hours trading. The server maker also submitted a plan to The Nasdaq Stock Market to regain compliance with the exchange's listing requirements. It stated that it will remain listed on Nasdaq while its "review of the compliance plan" is underway.Super Micro was late in filing its year-end report with the SEC and had earlier announced that it was searching for a new accountant after its previous one, Ernst & Young, resigned in October. The company said it believes it will be able to file its annual report for the year ended June 30 and its quarterly report for the period ended Sept. 30. Despite this, its shares are down more than 24% this year and have plunged 54.7% over the past month due to news about its compliance with Nasdaq. This shows the complex situation surrounding Super Micro's stock.

Tuesday Evening's Stock Futures Open

Stock futures were trading marginally lower shortly after 6 p.m. ET on Tuesday evening. Futures tied to the Dow Jones Industrial Average dipped 35 points, or nearly 0.1%. S&P futures and Nasdaq 100 futures each shed less than 0.1%. This shows a relatively stable start to Tuesday's trading.