U.S. Stock Futures Rise Following Wall Street Gains; Netflix Experiences Surge After Impressive Q4 Results

U.S. stock index futures saw a modest increase on Tuesday evening following positive gains on Wall Street, as investors began to analyze the policies of the newly inaugurated President Donald Trump. Notably, shares of Netflix rallied significantly after the market closed due to robust performance results.

The Nasdaq Composite was up 0.2% to 6,096.25 points, while the Dow Jones Industrial Average improved by 0.5% to 21,810.35 points at 18:58 ET (23:58 GMT). The S&P 500 remained steady at 44,238.0 points.

Market Sentiment Grows as Trump Avoids Day-One Tariffs

On January 20, President Trump took office as the 45th President of the United States, ushering in an administration that promises considerable policy shifts. In his inaugural speech, he shared his vision for restoring American prosperity with a focus on economic growth, national security, and a move away from globalization towards a more domestic-centric approach.

As soon as he took office, President Trump began signing a series of executive orders echoing his campaign promises. The financial markets reacted positively when he decided not to impose broad tariffs on his first day, although he did mention that he was considering the option.

Additionally, among his various executive actions, he announced the establishment of a new Department of Government Efficiency, which will be headed by Tesla's CEO Elon Musk.

Netflix Posts Strong Q4 Results, Shares Surge

Netflix saw its stock price jump by more than 14% in after-hours trading, reaching $993.99, after revealing that it added a record 19 million new subscribers in the fourth quarter of 2024, significantly beating analysts' expectations.

The surge in new subscribers was largely attributed to a variety of successful content releases, including critically acclaimed new seasons and original movies, along with the introduction of regionally customized programming that appealed to a wide array of global viewers.

For the quarter, Netflix’s revenue rose to $9.5 billion, marking an 8% increase from the previous year, while net income increased to $915 million, reflecting a 12% growth. The company also announced plans to raise subscription prices in the U.S., Canada, Portugal, and Argentina, citing a need for greater investment in content development.

Wall Street Ends Higher Amid Trump Optimism

While analysts predict continued short-term volatility due to the implications of Trump's policies, many expect that the stock market may experience a rally in his first year of presidency. The Dow Jones Industrial Average gained 1.2%, closing at 44,025.81 points, while the Nasdaq Composite climbed 0.9% to finish at 6,049.24 points; the S&P 500 advanced by 0.6%, reaching 19,756.7 points.

In other news, President Trump also introduced a $500 billion collaborative project called Stargate, with participation from companies like Oracle, Microsoft, NVIDIA, and others. This initiative aims to establish extensive AI data centers and power generation facilities in Texas over the coming four years, with the goal of significantly enhancing the nation's artificial intelligence capabilities.

As a result, Oracle’s shares closed 7.7% higher, with shares of Microsoft and NVIDIA also rising in after-hours trading.

Looking ahead, General Electric's spin-off energy division, GE Vernova LLC, is anticipated to release its quarterly earnings report on Wednesday, along with announcements from Johnson & Johnson and Procter & Gamble.

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