5 Things to Know Before the Stock Market Opens

U.S. stock futures are pointing lower following yesterday’s selloff as tariffs on Canada, Mexico, and China take effect; Canada responds with a 25% tariff on $27 billion worth of U.S. goods and China retaliates with tariffs on U.S. farm imports; Target (TGT) posts better-than-expected fourth-quarter results but warns that tariffs could put pressure on current-quarter profits; Walgreens Boots Alliance (WBA) shares are rising in premarket trading after a report it’s near a $10 billion deal to be taken private; and Nvidia (NVDA) shares are slipping after plunging Monday. Here’s what investors need to know today.

1. US Stock Futures Point Lower as Tariffs Take Effect

U.S. stock futures are pointing lower following yesterday’s selloff as tariffs on Canada, Mexico, and China take effect. Nasdaq futures are 0.7% lower after the tech-heavy index shed 2.6% Monday, while S&P 500 and Dow Jones Industrial Average futures also are lower following slides yesterday. Bitcoin (BTCUSD) is down 3% to trade below $84,000. The 10-year Treasury note yield and oil futures also are lower. Gold futures are 1% higher.

2. Canada, China Retaliate With Tariffs on US Goods

Canada and China announced retaliatory actions against the U.S. as tariffs against the two nations and Mexico kicked in today. Canada responded by announcing 25% tariffs on C$30 billion ($27 billion) worth of U.S. goods, while China said it will impose tariffs on a string of U.S. farm products. Market watchers are also waiting for remarks tonight from President Donald Trump.

3. Target Q4 Results Top Estimates But Retailer Warns of ‘Tariff Uncertainty’

Target (TGT) reported fourth-quarter results that topped analysts’ estimates but warned that “tariff uncertainty” would pressure first-quarter profit. The retailer reported adjusted earnings per share (EPS) of $2.41 on revenue that declined 3% year-over-year to $30.92 billion, better than expectations. Target’s comparable sales rose 1.5%, above projections of 1.39% growth. Shares are 1.5% lower in premarket trading.

4. Walgreens Stock Rises on Report It’s Near Deal to Go Private

Walgreens Boots Alliance (WBA) shares are rising 5% in premarket trading after The Wall Street Journal reported that the pharmacy chain was close to a roughly $10 billion deal to be taken private. Recent speculation over the deal had helped push shares 10% higher this year entering Tuesday. The Journal reported that private-equity firm Sycamore Partners has been discussing paying between $11.30 per share and $11.40 per share in cash for the company, which was replaced by Amazon (AMZN) in the Dow just over a year ago.

5. Nvidia Stock Falls Further After Sinking Monday

Nvidia (NVDA) shares are falling 3% further in premarket trading after sinking nearly 9% Monday as stocks associated with AI fell on worries over the impact of tariffs. Super Micro Computer (SMCI) shares are 7% lower following a decline of nearly 13% in the prior session, and shares of nuclear power providers Constellation Energy (CEG) and Vistra (VST) are down roughly 3% and 2.5%, respectively, as optimism fades on AI data center power needs.