Investing.com– U.S. stock index futures rose Wednesday, rebounding after three straight days of losses amid uncertainty ahead of more cues on inflation and the Federal Reserve.
By 06:50 ET (11:50 GMT), the contract was up 200 points, or 0.5%, traded 27 points, or 0.5%, higher and climbed 105 points, or 0.6%.
PCE inflation, Fedspeak awaited for more trading cues
Wall Street indexes have fallen back this week after clocking record highs last week, with traders cautious as they seek more cues on the path of inflation and interest rate cuts.
There is expected to be a bounce later in the session, after above-forecast U.S. durable goods orders data on Tuesday bolstered the view of a robust economy, while business spending on equipment showed tentative signs of recovery and consumer confidence held steady.
There’s little in the way of economic data to study Wednesday, so investors are likely to focus on comments from Federal Reserve Board Governor , who is set to speak at the Economic Club of New York later in the day.
That said, trading ranges are likely to be limited ahead of Friday’s release of data, the Fed’s preferred inflation gauge, when markets will be closed for Good Friday.
Top Fed officials – and – are also set to speak separately on Friday, offering up more cues on interest rate cuts after the central bank signaled last week that it still planned to cut rates by 75 basis points in 2024, inflation notwithstanding.
Merck shines, GameStop plummets
In corporate news, pharmaceutical giant Merck (NYSE:) jumped nearly 5% to an indicated record high after the U.S. Food and Drug Administration approved its treatment for a rare lung disease.
Trump Media & Technology Group (NASDAQ:) jumped over 13%, a day after its stellar debut on the Nasdaq, while Robinhood Markets (NASDAQ:) advanced 6.6%, after the online trading app launched a new credit card, in an effort to expand its foothold in the personal finance market.
On the flip side, GameStop (NYSE:) slid 20% after disappointing earnings in the important holiday quarter. The struggling videogame retailer also said it had cut an unspecified number of jobs to reduce costs, as it faced continued pressure from digital platforms and dwindling consumer spending.
Shockwave Medical (NASDAQ:) rose 1.2%, extending gains after a 10% jump on reports that Johnson & Johnson (NYSE:) was in talks to buy the medical device maker.
Crude falls after sharp rise in US inventories
Oil prices fell sharply Wednesday after the release of industry data showing a hefty increase in U.S. inventories.
By 06:50 ET, the futures traded 0.7% lower at $81.04 a barrel, while the Brent contract dropped 0.6% to $85.09 per barrel.
Data from the American Petroleum Institute, released Tuesday, showed that saw a build of 9.3 million barrels in the week to March 22, substantially above expectations for a draw of 1.2 million barrels.
The official U.S. inventory data, from the , is due later Wednesday, but the API reading has raised questions over just how tight U.S. crude markets were, especially as oil production remained at record highs of over 13 million barrels per day.
(Ambar Warrick contributed to this article.)
