U.S. stock futures surged Tuesday on signs of easing trade tensions with Europe, while Nvidia prepares to release a new AI chip tailored for China. Meanwhile, Tesla faces a steep sales drop in Europe, and Bitcoin retreats ahead of a major industry event. Investors also await key signals from OPEC+ on oil production.
U.S. Markets Climb as EU Tariffs Delayed
Stock futures on Wall Street moved sharply higher Tuesday morning, buoyed by news that President Donald Trump has delayed a planned tariff hike on European imports. The decision, made after a call with European Commission President Ursula von der Leyen, postpones the tariff implementation from June 1 to July 9, giving both sides time to resume trade negotiations.
At 03:10 ET, futures tied to the S&P 500 rose 1.2%, those for the Nasdaq 100 advanced 1.4%, and Dow Jones futures were up 1.1%. Markets were rebounding from last week’s declines, which saw major indices fall over 2% amid fears of a renewed trade conflict.
Von der Leyen took to X (formerly Twitter) to express hope for rapid and constructive talks. However, Trump’s sudden policy pivot added to ongoing market uncertainty around U.S. trade strategy.
Traders will also monitor speeches Tuesday from Minneapolis Fed President Neel Kashkari and New York Fed President John Williams for further economic cues. Analysts at Morgan Stanley noted that recent Fed commentary emphasized caution as tariffs could strain both inflation and employment goals.
Nvidia Prepares Cheaper AI Chip for China
Nvidia (NASDAQ:NVDA) is planning to introduce a new artificial intelligence chip aimed at the Chinese market, according to sources cited by Reuters. The launch could take place as soon as June.
Designed to comply with U.S. export restrictions, the chip will feature downgraded specs compared to Nvidia’s restricted H20 model. It’s expected to use standard GDDR7 memory instead of more advanced, high-bandwidth alternatives.
Nvidia has seen its Chinese market share shrink from 95% to around 50% since 2022 due to trade controls and intensifying local competition, particularly from Chinese tech giant Huawei. Nonetheless, CEO Jensen Huang remains bullish on China’s long-term potential, estimating it could become a $50 billion revenue opportunity for the company.
Tesla Sees Sharp Sales Decline in Europe
Tesla’s (NASDAQ:TSLA) performance in Europe weakened further in April, with new vehicle registrations falling by 49% compared to a year earlier, according to data from the European Automobile Manufacturers’ Association.
The EV maker registered just 7,261 new cars across the EU, EFTA, and the U.K., down from over 14,000 a year ago. Market share also halved to 0.7%.
This decline occurred despite a 34.1% year-over-year increase in total battery electric vehicle (BEV) sales across Europe, indicating that competitors are gaining ground. Tesla faces growing pressure from both European legacy automakers and incoming Chinese brands, even as higher import tariffs loom.
The brand’s image has also taken a hit due to CEO Elon Musk’s public persona and political involvement, which analysts suggest may be fueling a regional consumer backlash.
Bitcoin Dips Ahead of Major Conference
Bitcoin slipped below recent highs Tuesday, as traders turned their attention to the start of the 2025 Bitcoin Conference in Las Vegas.
As of 03:10 ET, the cryptocurrency was down 0.9% to $109,050 after reaching an all-time high of nearly $112,000 last Thursday. The rally had been driven by regulatory momentum and increased institutional interest.
The conference, held at the Venetian Expo, is expected to draw more than 30,000 attendees, feature 400+ speakers, and include participation from over 5,000 companies. High-profile guests include Michael Saylor, SEC Commissioner Hester Peirce, and U.S. Vice President JD Vance.
Oil Prices Hold Steady Ahead of OPEC+ Meeting
Crude oil prices were little changed early Tuesday as investors adopted a wait-and-see approach ahead of a key OPEC+ meeting later in the week.
At 03:10 ET, Brent crude slipped 0.1% to $64.08 per barrel, while West Texas Intermediate dropped 0.1% to $61.47.
The alliance of oil producers is reportedly considering increasing output by up to 411,000 barrels per day in July, although no formal decision has been made yet. The meeting follows earlier incremental hikes in May and June as the group continues its gradual unwinding of prior supply cuts.