Tuesday's big stock stories: What’s likely to move the market in the next trading session

Palantir Technologies reported an earnings and revenue beat, driving its year-to-date gain to 174%, though after-hours trading saw initial surges moderate. Ahead of upcoming earnings from Pfizer and Amgen, the broader market continues its strong 2025 performance, with the Nasdaq 100 up 23.6% and the S&P 500 up 16.5%, primarily led by the Tech sector. Concurrently, Wolfe Research indicates that 62% of current tariffs are being absorbed by key channels, disproportionately affecting consumers and pressuring margins for sectors like furniture and auto retailers, with these costs likely to be passed through. Capri Holdings, also set to report, has increased its FY26 tariff impact estimate to $85 million, despite recent analyst upgrades.

Analysis

The broader market demonstrates robust year-to-date performance in 2025, with the Nasdaq 100 up 23.6% and the S&P 500 gaining 16.5%. This growth is primarily driven by the Technology sector, which leads with a 29.8% increase, followed by Communication Services at 25.4%. Conversely, Consumer Staples is the sole negative sector, down 1% year-to-date.

Palantir Technologies (PLTR) reported a strong beat on revenue and earnings, contributing to its impressive 174% year-to-date gain, despite some after-hours volatility. Upcoming earnings reports from pharmaceutical giants Pfizer (PFE) and Amgen (AMGN) will be closely watched, with PFE showing recent monthly weakness (-10%) despite a 5% gain over three months, while AMGN is up nearly 14% YTD.

Wolfe Research indicates that approximately 62% of current tariffs are being absorbed across key channels, significantly impacting consumer costs and pressuring margins for sectors like furniture and auto retail. Capri Holdings (CPRI), set to report earnings, has increased its fiscal 2026 unmitigated tariff impact estimate to $85 million from $60 million, despite recent analyst upgrades and a 22% gain over the last three months.

Key Decisions for Investors

• Investors should monitor the sustainability of the Tech sector's outperformance and broader market momentum, given the significant year-to-date gains.
• Pay close attention to the upcoming earnings calls for Pfizer and Amgen for insights into pharmaceutical sector health and company-specific outlooks, especially given Pfizer's recent stock volatility.
• Evaluate exposure to consumer-facing sectors, particularly retail and auto, considering Wolfe Research's findings on tariff absorption and potential margin pressure, exemplified by Capri Holdings' increased tariff impact estimate.