Investing.com-- U.S. stock index futures rose in early Asian trade on Tuesday, recovering some ground from a sharp fall on Wall Street as President Donald Trump’s fresh attack on Federal Reserve Chair Jerome Powell battered sentiment.

Investors remained on edge amid uncertainty over Trump’s plans for steep trade tariffs, even as his administration flagged several trade agreements.

Markets were also testy before a string of key technology earnings due this week, with electric car-maker Tesla (NASDAQ: TSLA ) set to report on Tuesday.

S&P 500 Futures rose 0.4% to 5,205.0 points, while Nasdaq 100 Futures rose 0.4% to 17,996.50 points by 21:00 ET (01:00 GMT). Dow Jones Futures rose 0.3% to 38,455.0 points.

Trump’s Powell comments, tariff uncertainty rattle Wall St

Futures fell following a deeply negative session on Wall Street, as Trump kept up his criticism of Powell and called for “preemptive” interest rate cuts, warning that the economy would slow otherwise.

Trump also kept up his harsh rhetoric against Powell, after having earlier called for the Fed Chair’s removal, sparking concerns over the Fed’s independence under Trump. Powell’s term ends only in May 2026, and it is unclear if Trump will be able to remove the Fed Chair before this.

Powell had last week warned that Trump’s tariffs could underpin inflation, and that the Fed will stay its hand until it has more clarity on the tariffs and their impact.

Trump’s comments on interest rates, coupled with persistent uncertainty over his tariff agenda, saw Wall Street end sharply lower on Monday. The S&P 500 fell 2.4% to 5,158.20 points, while the NASDAQ Composite slid 2.6% to 15,870.90 points. The Dow Jones Industrial Average fell 2.5% to 38,170.41 points.

Tesla, Alphabet to report earnings this week

EV maker Tesla and Google owner Alphabet are set to report quarterly earnings on Tuesday and Thursday, respectively. The two are the first of Wall Street’s so-called Magnificent Seven to report this earnings season, and are likely to set a precedent for their peers.

With Tesla, analysts are bracing for a negative quarter, as the EV maker grapples with a prolonged decline in deliveries, an aging lineup, and a sales boycott centered around the political actions of CEO Elon Musk.

Alphabet’s (NASDAQ: GOOGL ) earnings are set to offer more insight into demand for artificial intelligence, and just how much more capital the company and its peers will invest in the technology.

Some doubts over the AI trade emerged this week after Wells Fargo said that Amazon (NASDAQ: AMZN ) Web Services had paused some talks over leasing data center capacity, following reports of a similar move by Microsoft (NASDAQ: MSFT ) earlier this year.

AI chip and server makers stand to be the most hit by this, with market major Nvidia (NASDAQ: NVDA ) falling 0.6% in aftermarket trade following a 4.5% slump on Monday.