U.S. stock index futures rose on Wednesday, boosted by positive results from Nextflix as investors weighed President Donald Trump’s trade policies.
Dow Jones futures gained about 50 points, or 0.1%, S&P 500 futures were up about 24 points, or 0.4%, and Nasdaq futures advanced 165 points, or about 0.8%.
Wall Street’s major indices logged significant gains on Tuesday, the first full trading day under the new Trump administration.
Stocks were supported by Trump’s initial decision to hold off imposing sweeping tariffs on imports, though he indicated he was still considering levies on Mexico and Canada, potentially starting on February 1. Additionally, the president mentioned ongoing deliberations over tariffs on the European Union and punitive duties on China.
Netflix Soars After Posting Strong Q4 Results
Market sentiment remained positive Wednesday, bolstered by Netflix (NFLX) shares, which surged approximately 14% in pre-market trading after the streaming giant reported an impressive 19 million new subscribers during Q4 2024, far exceeding Wall Street projections.
The subscription surge was fueled by blockbuster content releases, including highly praised new seasons of popular series, original films, and regionally tailored programming that resonated with diverse global audiences.
Netflix’s quarterly revenue increased to $9.5 billion, reflecting an 8% year-over-year rise, while net income climbed to approximately $915 million, showcasing a 12% growth.
In addition, Netflix announced plans to raise prices for most subscription tiers in the U.S., Canada, Argentina, and Portugal, attributing the increase to heightened investment in premium programming.
Enthusiasm Surrounds Stargate Initiative
Separately, President Trump unveiled a groundbreaking $500 billion joint venture, “Stargate,” involving tech giants OpenAI, Oracle (ORCL), SoftBank (9984), Microsoft (MSFT), Nvidia (NVDA), and other leading technology firms.
The initiative aims to establish expansive AI data centers and energy production facilities in Texas over the next four years, significantly enhancing the country’s artificial intelligence capabilities and positioning the U.S. as a global leader in AI development.
Corporate Earnings on the Horizon
Later in the session, GE Vernova (GEV), the newly spun-off energy division of General Electric (GE), will report its quarterly results. Investors are also anticipating earnings from Johnson & Johnson (JNJ) and Procter & Gamble (PG).
Meanwhile, United Airlines (UAL) shares climbed more than 4% in pre-market trading after the airline delivered better-than-expected fourth-quarter earnings, bolstered by optimistic projections for international and premium travel demand.
Oil Prices Rebound
Oil prices rose on Wednesday, recovering from earlier losses following President Trump’s declaration of a national emergency aimed at boosting domestic energy production.
Oil benchmarks dipped on Tuesday after Trump outlined a comprehensive plan to maximize oil and gas production. The strategy includes rolling back environmental protections and officially withdrawing the U.S. from the Paris Climate Agreement to prioritize energy independence.
