Stock futures tumbled early Monday as investors weighed new U.S. tariffs on goods from key trade partners and their potential impact on the economy and profits.

The Dow Jones dropped Tuesday as China imposed tariffs on U.S. imports in response to President Trump's tariffs. Palantir surged on earnings.

The Nasdaq and other major indices saw gains on Tuesday morning following a strong earnings report from Palantir. Meanwhile, investors are anticipating President Trump’s next move as China responded to Trump’s new tariffs by promising to implement its own import taxes starting next week.