Stock Futures Gap Lower as Trade War Fears Take Hold

Investors are eyeing Federal Reserve Chair Jerome Powell's testimony

Fernanda Horner

Digital Content Manager

Feb 11, 2025 at 9:20 AM

Trade war fears are front and center this morning, as investors await Federal Reserve Chairman Jerome Powell's testimony before the Senate Banking Committee later today. Futures on the Dow Jones Industrial Average (DJIA) and Nasdaq-100 (NDX) are down triple digits, with futures on the S&P 500 Index (SPX) sharply lower as well. This comes after European Commission President Ursula von der Leyen said the European Union (EU) would respond to President Donald Trump's steel and aluminum tariffs with "firm and proportionate countermeasures.”

Continue reading for more on today's market, including:

Alibaba stock drawing heavy options volume.
SPX seeing little directional movement despite choppiness.
Plus, IBM attracts bullish attention; Coca-Cola's blowout report; and chip stock brushes off upgrade.

5 Things You Need to Know Today

The Cboe Options Exchange (CBOE) saw more than 2.1 million call contracts and 1 million put contracts exchanged on Monday. The single-session equity put/call ratio fell to 0.47 and the 21-day moving average stayed at 0.60.
IBM (NYSE:IBM) stock is up 0.3% in premarket trading, after Oppenheimer initiated coverage with an "outperform" rating and set its price target at $320, implying about 30% upside. IBM added 48.8% in the last nine months.
Coca-Cola Co (NYSE:KO) beat earnings and revenue expectations for the fourth quarter thanks to strong demand for its drinks. KO is up 3.6% ahead of the open, and sports an 8.7% year-over-year lead.
Super Micro Computer Inc (NASDAQ:SMCI) is down 4.5% ahead of the bell, after yesterday adding 17.6% ahead of its fiscal second-quarter earnings report, which is due out after today's close. The equity is also brushing off an upgrade from CRFA to "buy" from "hold." SMCI is already up 39.9% in 2025.
Inflation data for January is on tap this week.

buzzfeb11

Asian, European Markets Mixed

Asian markets reacted to the steel tariffs in a variety of ways. South Korea’s Kospi was the region’s only winner, adding 0.7%, despite small cap weakness. Hong Kong’s Hang Seng and China’s Shanghai Composite gave back 1.1% and 0.1%, respectively. Japan’s Nikkei was closed for a holiday.

European bourses are struggling for direction this afternoon, giving back gains from this morning. At last check, London’s FTSE 100 is flat, the French CAC 40 is 0.2% higher thanks to an upbeat post-earnings reaction from luxury giant Kering, and the German DAX is up 0.3%.

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