Tuesday setup: futures firm as Fed meeting opens, tech extends Anthropic-fueled bounce
US futures edged higher pre-market as Anthropic IPO buzz lifted tech, oil eased from recent highs, and traders awaited the Fed's two-day meeting.
US stock index futures pointed modestly higher ahead of Tuesday’s open, building on Monday’s rally. As of about 6:56 a.m. ET, Dow E-minis were up 169 points, or 0.32%, S&P 500 E-minis were up 15 points, or 0.19%, and Nasdaq 100 E-minis were up 79 points, or 0.27%, according to Reuters. Monday’s advance was tied largely to Anthropic’s public filing to list on the Nasdaq under the ticker “ANT,” which revived buying in AI-linked names after a rough stretch for tech; the Nasdaq Composite finished the session up roughly half a percent, per Yahoo Finance and HDFC Sky. Crude oil was a secondary driver: Reuters reported Brent crude slipped for a second straight session in volatile trading, though it remained near its highest level since late April.
The dominant event for the week is the Federal Reserve’s two-day policy meeting, which opens today with a rate decision due Wednesday at 2 p.m. ET. Reuters and CNBC both described a hold as the overwhelmingly expected outcome, with markets pricing in a high probability of no change this month even as some reports characterized the likely stance as hawkish, with futures markets pricing meaningful odds of a December move. Reuters also noted inflation indicators remain elevated against the backdrop of the US-Iran conflict, a factor investors are watching alongside the Fed’s language. Megacap earnings also loom large this week, with Alphabet and Microsoft due to report Wednesday and Amazon Thursday, keeping AI capital-spending questions in focus even though those reports fall outside today’s session.
On today’s calendar, the Conference Board’s Consumer Confidence reading and the Commerce Department’s New Home Sales report are both due at 10 a.m. ET, according to a financecalendar.com listing of the day’s events. Later in the global day, Australia’s quarterly CPI print and a Reserve Bank of New Zealand rate decision are scheduled for the evening US time, events that could move currency and rates markets heading into Wednesday’s Fed decision.
What to watch today
- The Federal Reserve’s two-day FOMC meeting opens today, with a rate decision due Wednesday at 2 p.m. ET; a hold is widely expected. (Reuters/CNBC)
- Conference Board Consumer Confidence for October is due at 10:00 a.m. ET. (financecalendar.com)
- Commerce Department New Home Sales data for September/October is due at 10:00 a.m. ET. (financecalendar.com)
- Australia’s quarterly CPI print is due in the evening (US time), a high-impact release for rate-sensitive currency and bond markets. (financecalendar.com)
- The Reserve Bank of New Zealand hands down a rate decision in the evening (US time). (financecalendar.com)
Watchlist earnings today: Visa Inc. (V, after the close)