The U.S. stock market continues its upward trajectory, overcoming challenges like oil prices and geopolitical tensions, with strong earnings from many of the "Magnificent Seven." The next test arrives with a busy week of first-quarter earnings reports, featuring over 100 S&P 500 companies.
Key reports to watch include semiconductor leader Advanced Micro Devices, retail favorites Palantir and Coinbase, and consumer stocks from Uber to Disney.
For momentum traders, AMD's report on Tuesday is particularly important. Semiconductors are central to the bull market, powering the AI boom, and AMD has seen a remarkable 270% increase in the past year – exceeding Nvidia's growth. Options traders anticipate a 7% move in AMD, with a generally bullish outlook.
AMD and Palantir
Palantir, currently down 30% from its all-time high but still up 550% over two years, has rallied after five of its last seven reports. Options trading shows bullish sentiment, with more calls bought than sold, and a greater volume of call premiums traded. Traders are expecting an 8% swing, slightly below the stock's four-quarter average.
The combination of AMD and Palantir reports presents an opportunity for both hardware and software themes to gain traction, after a period of underperformance for the latter. Overall market momentum remains strong, with the S&P 500, Nasdaq 100, and Russell 2000 all reaching new highs, and the VIX at a low of 16.4.
CEO of Palantir Technologies Alex Karp speaks during the World Economic Forum (WEF) annual meeting in Davos on Jan. 20, 2026.
Fabrice Coffrini | AFP | Getty Images
