Nasdaq Futures Rise, Fed Decision Looms
Nasdaq futures climbed Wednesday, boosted by upbeat ASML orders driving chip stocks. However, broader market sentiment remained subdued ahead of key Big Tech earnings and the Federal Reserve's rate announcement.
Fed Decision in Spotlight
The impending Fed policy decision has markets on edge, despite expectations that interest rates will remain unchanged. Investors will scrutinize Fed Chair Jerome Powell's press conference for guidance on future rate cuts and the central bank's stance amid President Trump's tariff actions.
ASML Boosts Tech Sector
Shares of ASML, a semiconductor equipment manufacturer, surged 7% in pre-market trading following strong bookings. This buoyed tech stocks, which are recovering from recent setbacks.
AI Competition Intensifies
Alibaba released an AI model, while Microsoft-backed OpenAI accused DeepSeek of using its proprietary models for training. The focus shifts to quarterly results from Meta and Microsoft for reassurance on Big Tech's AI investments.
Tesla and Apple Earnings
Tesla rounds out Wednesday's megacap earnings, with analysts anticipating a catalyst to ignite the stock. Oppenheimer downgraded Apple, joining Loop Capital and Jefferies in reducing their ratings ahead of the company's earnings announcement tomorrow.
Other News
* Mortgage Applications (MBA) data for the week ending January 24
* FOMC rate decision
* Earnings: Tesla (TSLA), Meta (META), Microsoft (MSFT), ADP (ADP), ASML (ASML), General Dynamics (GD), IBM (IBM), Nasdaq (NDAQ), Progressive (PGR), ServiceNow (NOW), T-Mobile (TMUS), V.F. Corporation (VFC)