Dow Jones futures stay silent as traders await Fed Powell’s remarks, earnings reports

• Dow Jones futures move little due to market caution ahead of Fed Chair Jerome Powell’s speech.

• US stock indices may further appreciate on robust performance in technology shares.

• AMD jumped 11.4% on OpenAI partnership optimism, while Nvidia gained 2.2% amid rising computing demand on Wednesday.

Dow Jones futures remain steady near 46,850 during European hours on Thursday, ahead of the regular session opening in the United States (US). The S&P 500 futures hover around 6,800, while Nasdaq 100 futures inch higher 0.03% to stay near 25,350.

US index futures move little as traders adopt caution ahead of the speech by Federal Reserve (Fed) Chair Jerome Powell due later in the North American session. The major indices advanced to new record levels in the previous session, supported by robust performance in technology shares.

Market sentiment also improved following the latest Federal Open Market Committee (FOMC) Meeting Minutes, suggesting policymakers are leaning toward a dovish stance this year. The CME FedWatch Tool suggests that markets are now pricing in a 92.5% chance of a 25-basis-point Fed rate cut in October and an 78% possibility of another reduction in December.

Fed members noted it would likely be appropriate to ease policy further by the year-end. Some policymakers highlighted that the financial conditions suggest policy may not be particularly restrictive. Most participants judged downside risks to employment to have increased, while upside risks to inflation had either diminished or not increased.

Market sentiment may remain cautious as the US government shutdown continues its ninth day with no sign of progress. On Wednesday, the US Senate again rejected competing funding proposals from Republicans and Democrats to end the impasse.

On Wednesday’s regular session, the Dow Jones ended with little movement, while the S&P 500 rose 0.58% and the Nasdaq 100 added 1.12%, reaching fresh records. Strength in AI-related megacaps and semiconductor stocks drove the rally. AMD climbed 11.4% following a positive market reaction to its OpenAI partnership, while Nvidia rose 2.2% after CEO Jensen Huang highlighted a substantial increase in computing demand this year. Traders now await earnings reports from Delta Air Lines and PepsiCo due later in the day.