US Stock Futures Flat Ahead of Fed Minutes, Trump Tariff Announcement
US stock futures traded marginally on Wednesday, with the S&P 500 holding onto its record high. Investors assessed the potential impact of President Trump's latest tariff threats and awaited Federal Reserve meeting minutes for clues on future policy.
Futures on the S&P 500 (ES=F) and Dow Jones Industrial Average (YM=F) saw minimal movement. Contracts on the tech-heavy Nasdaq 100 (NQ=F) edged up by 0.1%.
Markets remain cautious as investors anticipate the full effects of President Trump's proposed tariffs. Despite this, stocks have shown resilience, with the S&P 500 (GSPC) setting a new record on Tuesday.
Trump has threatened additional duties on automobiles, chips, and pharmaceuticals, with a 25% tariff potentially affecting foreign automakers starting April 2nd.
Ahead of the Fed's January meeting minutes, investors are scrutinizing policymakers' views on the potential inflationary impact of Trump's tariffs and its implications for interest rate decisions. Fed officials have recently indicated that they expect to maintain rates while monitoring economic conditions.
Etsy (ETSY) and Carvana (CVNA) are scheduled to report earnings on Wednesday, marking the conclusion of the earnings season.
International markets slumped Wednesday, reversing a recent rally, prompted by Trump's tariff threats and concerns over Chinese stock valuations. In other news, HSBC (HSBC) reported a 6.6% annual profit increase, exceeding expectations. Oil prices rose amid ongoing disruptions due to the Ukraine-Russia conflict, with markets closely monitoring the peace negotiations.