U.S. stock futures gained on Monday, as investors anticipated Nvidia's (NASDAQ: NVDA) quarterly earnings, a key event that could shape AI-driven market sentiment. Meanwhile, Germany's conservatives secured the most votes in a crucial election, and Alibaba (NYSE: BABA) announced a $52.4 billion AI and cloud investment.

1. U.S. Stock Futures Rebound

📈 Dow futures: +164 points (+0.4%)
📈 S&P 500 futures: +19 points (+0.3%)
📈 Nasdaq 100 futures: +50 points (+0.2%)

Stocks ended lower last week, weighed by:

• Weak business activity data: U.S. business activity fell to a 17-month low, reflecting economic slowdown fears.
• Declining consumer sentiment: Consumer confidence hit a 15-month low, as households grew worried about inflation and tariffs under the Trump administration.

Upcoming Economic Data to Watch

• PCE Price Index (January, due Friday): A key inflation gauge closely monitored by the Federal Reserve.

2. Nvidia's Highly Anticipated Earnings (Wednesday, After Market Close)

Nvidia's earnings will be a key market driver this week, as investors assess:
✅ AI growth outlook: Nvidia has been a bellwether for AI demand, surging 550% in two years.
✅ Competition risks: Chinese start-up DeepSeek's low-cost AI model caused a 17% Nvidia stock drop in January, erasing $593 billion in market cap—a record one-day loss in Wall Street history.

Investors will be looking for guidance on AI sustainability and Nvidia's response to competition.

💡 For insights into Nvidia's financial performance, explore FMP's Full Financials API.

3. Germany's Election & Market Impact

Germany's Christian Democratic Union (CDU) and Bavarian allies secured the most votes, reducing concerns about political instability.

🔹 Euro briefly hit $1.0528, then pulled back to $1.0482 (+0.2%).
🔹 DAX Index rose 0.7%, nearing record highs.
🔹 Fiscal uncertainty lingers as debt brake reform remains challenging.

For global market tracking, use FMP's Sector P/E Ratio API.

4. Alibaba's $52.4B AI & Cloud Investment

Alibaba (NYSE: BABA) unveiled a $52.4 billion investment plan, aimed at:

• Expanding AI infrastructure and cloud computing.
• Competing with global cloud leaders like Amazon (NASDAQ: AMZN) and Microsoft (NASDAQ: MSFT).
• Strengthening China's AI ecosystem amid rising U.S.-China tech competition.

📊 Track Alibaba's financials with FMP's Annual Reports API.

5. Berkshire Hathaway Hits Record Profits

📢 Warren Buffett's Berkshire Hathaway (NYSE: BRKa):

• Posted a record full-year profit for the third straight year.
• Grew cash reserves to $334.2 billion.
• Buffett confirmed Greg Abel as his successor, saying, "It won't be long."

💰 Check Berkshire Hathaway's key financial metrics via FMP's Key Metrics API.

Market Outlook

📌 Short-term catalysts:

• Nvidia earnings will set the tone for AI and tech stocks.
• PCE inflation data could impact Fed rate expectations.

📌 Key risks:

• U.S.-China tensions over AI dominance.
• Fiscal uncertainty in Germany.
• Market reaction to Trump's tariff policies.

🔍 Stay ahead with real-time financial data using FMP's APIs.