U.S. stock futures edged higher Tuesday morning. Contracts pointed to more gains after Wall Street opened the week with a powerful rally and the Dow closed at a record.

Nasdaq-100 futures led the advance, rising about 0.7%. S&P 500 futures added 0.2%, while Dow Jones Industrial Average futures climbed 201 points, or 0.5%, as of early morning trading in New York.

The move followed a strong Monday session. The tech-heavy Nasdaq Composite surged 2.13%, the S&P 500 gained 1.48%, and the Dow rose 1.32%. Megacap technology led the charge, with Amazon soaring 4.6% to top a $3 trillion market capitalization for the first time.

Palantir leads the premarket on an AI-fueled quarter

The premarket standout was Palantir Technologies (PLTR), up roughly 16% before the open after a second-quarter report that beat on every key line.

Palantir posted Q2 2026 revenue of $1.94 billion, up 93% year over year and ahead of the roughly $1.80 billion analysts expected, according to the company’s press release filed with the SEC [1]. Adjusted earnings came in at 41 cents per share, above the 35-cent consensus. The engine again was U.S. commercial demand, where revenue jumped 149% year over year to $764 million.

Management also raised full-year guidance, lifting its 2026 revenue outlook to a range of $8.15 billion to $8.16 billion, well above the $7.69 billion Wall Street had penciled in. The company guided Q3 revenue to $2.16 billion.

The report reinforces the bull case for the AI software name, though it does little to quiet the debate over Palantir’s premium valuation. For context on how the stock has traded through earlier results, see our earlier look at what Palantir’s numbers could ultimately be worth.

Oil slides, and the 10-year yield eases

A second tailwind came from the commodities complex. Oil prices fell roughly 5% after President Donald Trump canceled planned strikes on Iran and moved to revive negotiations, easing fears of a supply shock. italicBrent crude/italic settled near $83.82 a barrel, down about 4.7% on the day.

Lower energy costs took pressure off the inflation outlook. The yield on the 10-year Treasury note eased to about 4.67%, a move that tends to support richly valued growth stocks by lowering the discount rate on future earnings. The pullback in yields helped fuel Monday’s chip and megacap rally — a follow-through from the theme we covered when chip stocks last revived the futures tape.

Overnight: Asia rallies, Europe firms

Global markets were broadly positive. In Asia, South Korea’s Kospi rose 1.62% and Japan’s Nikkei 225 added 0.32%, while mainland China’s CSI 300 gained more than 1%. In Europe, the Stoxx 600 rose 0.46% in morning trade, with Germany’s DAX up 0.63%.

Earnings in focus

Tuesday brings another heavy slate of corporate results. Caterpillar shares jumped about 6% premarket after the industrial bellwether topped Q2 estimates — a read-through on global construction and machinery demand. McDonald’s and Merck also reported, while chipmaker AMD is due after the closing bell, a key test for the AI-hardware trade following Palantir’s software beat.

What to Watch for the Open

  • AMD earnings after the close — guidance on data-center and AI-accelerator demand will set the tone for semiconductors into Wednesday.
  • The August jobs report — the Bureau of Labor Statistics releases nonfarm payrolls on Friday, August 7, the week’s biggest macro catalyst for rate-cut expectations.
  • The 10-year yield — a hold below 4.7% keeps the door open for further gains in tech; a snap-back would pressure valuations.
  • Oil — watch whether the Iran de-escalation holds; a reversal would revive the inflation worry the market just shed.

The setup into the open is constructive: falling yields, cheaper oil, and an AI leader delivering the kind of numbers bulls have been waiting for. The risk is that a lot of good news is now priced in — leaving little room for disappointment when AMD reports tonight.