U.S. stock futures ticked higher Wednesday morning as Wall Street braced for a pivotal Federal Reserve policy announcement and awaited earnings from tech giants Microsoft and Meta Platforms.
The Dow Jones Industrial Average held flat, while futures on the S&P 500 climbed 0.1%. The Nasdaq 100 led with a 0.2% increase, reflecting investor anticipation around Big Tech earnings and signals on future interest rate cuts.
Market at a glance
| Index | Level | Change |
|---|---|---|
| S&P 500 Futures (ES=F) | 6,412.00 | +0.09% |
| Nasdaq 100 Futures (NQ=F) | — | +0.2% |
| Dow Jones Futures (YM=F) | — | Flat |
On Tuesday, all three major indexes posted losses, snapping a six-session winning streak for the S&P 500, which fell 0.3%. The Dow dropped 0.5%, and the Nasdaq shed 0.4%.
What’s driving the market today?
1. Federal Reserve interest rate decision
The Fed is expected to hold interest rates steady in the 4.25%-4.5% range, according to CME Group’s FedWatch tool, which assigns a 98% probability of no change.
Investors will listen closely to Chair Jerome Powell’s press conference at 2 p.m. ET for clues about potential rate cuts later in 2025.
“Despite increased political scrutiny, Powell continues to signal patience,” said Jerry Tempelman of Mutual of America Capital.
2. Microsoft and Meta earnings on deck
After the bell, Microsoft (MSFT) and Meta Platforms (META) will report quarterly results. Both are expected to show the impact of heavy AI investments on revenue growth.
- Microsoft EPS estimate: $3.37 on $73.89B in revenue
- Meta focus: AI hiring spree, data center expansion
Meta has recently made aggressive moves, hiring top AI talent and planning multi-gigawatt data centers under its new Superintelligence Lab initiative.
3. Economic indicators in focus
Several economic reports are scheduled for release this morning, including:
- GDP (Q2, annualized)
- ADP private payrolls (July)
- Pending home sales (June)
- MBA mortgage applications
These figures could influence expectations ahead of Friday’s PCE inflation index, the Fed’s preferred measure.
4. Trump’s tariff deadline looms
Investors are also watching geopolitical developments, including President Trump’s looming deadline for trade partners to strike agreements — or face a 25% blanket tariff. Talks with China concluded without an extension of the current tariff pause.
Stocks making moves today
- Starbucks (SBUX): +4.79% premarket after revenue beat expectations despite declining U.S. store traffic.
- Seagate (STX): -5.86% premarket after a weak revenue forecast hurt by sluggish PC demand.
- Avis (CAR): -5% following earnings and news of Waymo robotaxi partnership.
- Sarepta Therapeutics (SRPT): +10% after FDA greenlit continued sales of its muscular dystrophy drug.
- Humana (HUM): +5% after earnings beat and upward guidance revision.
Global markets update
- Asia: Mixed results after U.S.-China trade talks; Samsung stock popped on Tesla chip deal
- Europe: Awaiting U.S. policy clues; markets cautiously higher
- Oil: Holds recent gains; Brent crude trading near $72.65
What happens next?
With the Fed expected to hold rates steady, all eyes are on Powell’s comments and whether inflation trends justify easing in late 2025. In the meantime, tech earnings could spark short-term market moves, particularly if Microsoft and Meta surprise to the upside.
Traders should also monitor Thursday’s results from Apple (AAPL) and Amazon (AMZN) — and Friday’s jobs report, which will add further context to the economic outlook.
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