U.S. equity futures are pointing to a mildly positive open on Wednesday, suggesting stocks could regain ground after Tuesday’s retreat.

Investor sentiment appears to be buoyed by a string of better-than-expected earnings reports. McDonald’s (NYSE:MCD) shares are rallying 4.0% in premarket trading after the company topped analyst expectations on both revenue and profit for the second quarter.

Shopify (NASDAQ:SHOP) is also seeing notable early gains after the e-commerce platform delivered second-quarter revenue that beat forecasts and shared an encouraging outlook for the current quarter.

Disney (NYSE:DIS) is another name in focus, rising in the pre-market after reporting stronger-than-expected fiscal Q3 results, reinforcing optimism around the entertainment giant’s performance.

However, not all earnings updates were positive. Super Micro Computer (NASDAQ:SMCI) is under pressure following fiscal Q4 results that missed analyst targets and a soft outlook for the first quarter.

Snap (NYSE:SNAP) is also facing premarket weakness after posting second-quarter revenue that came in below consensus estimates.

With no major economic reports scheduled for release, overall market activity could be lighter than usual, as investors await further catalysts.

On Tuesday, Wall Street saw early gains evaporate as the session wore on. After extending Monday’s momentum early in the day, the major indexes reversed course and ended in the red.

By the close, the Nasdaq had declined 137.03 points, or 0.7%, to 20,916.55, while the S&P 500 dropped 30.75 points, or 0.5%, to 6,299.19. The Dow Jones Industrial Average shed 61.90 points, or 0.1%, to finish at 44,111.74.

The market’s decline may have been influenced by renewed trade tensions after former President Donald Trump hinted at fresh tariffs.

In an interview on CNBC’s Squawk Box, Trump said he will be announcing new tariffs on semiconductors and chips as soon as next week, “because we want them made in the United States.”

He also mentioned that potential tariffs on imported pharmaceuticals could reach “as high as 250 percent.”

Adding to the cautious mood, a report from the Institute for Supply Management showed that growth in the U.S. services sector cooled unexpectedly in July. The ISM Services PMI dipped to 50.1 from 50.8 in June, falling short of expectations for a rise to 51.5. While the index remains in expansion territory, the slowdown surprised economists.

Despite the broader market pullback, investors rewarded some standout earnings. Palantir (NYSE:PLTR) surged 7.9% after the company reported a sharp increase in sales.

The company attributed the jump to growing demand for artificial intelligence services, noting that its sales jumped almost 50 percent in the second quarter amid robust demand for artificial intelligence services.

Several sectors bucked the downtrend. Oil service stocks were standouts, pushing the Philadelphia Oil Service Index up 3.5%. Gold mining names also advanced, tracking a modest rise in gold prices, which helped lift the NYSE Arca Gold Bugs Index by 2.9%.

Housing and transportation stocks saw gains as well, while utilities and semiconductor shares were among the weakest performers of the session.

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