Dow Jones futures gain ahead of tech earnings, Fed policy decision

Dow Jones futures advance 0.12%, trading near 49,350 during the European hours on Wednesday, ahead of the United States (US) regular opening. Meanwhile, S&P 500 and Nasdaq 100 futures advance 0.09% and 0.33% to near 7,180 and 27,260, respectively.

US stock futures edge higher as traders shift their attention to a fresh wave of major tech earnings and the upcoming Federal Reserve (Fed) policy decision. Earnings reports due later in the North American session from Alphabet, Amazon, Meta Platforms, and Microsoft are expected to provide deeper insight into returns on their substantial artificial intelligence investments.

During Tuesday’s US regular session, Wall Street ended lower following developments related to the Organization of the Petroleum Exporting Countries, along with a report pointing to emerging signs of weakness at OpenAI. The Dow Jones slipped 0.05%, while the S&P 500 and the Nasdaq 100 declined 0.49% and 0.9%, respectively.

Reuters reported on Tuesday that the United Arab Emirates (UAE) is set to exit the Organization of the Petroleum Exporting Countries (OPEC) on May 1, delivering a notable setback to the oil producers’ group as the unprecedented energy crisis triggered by the Iran conflict reveals widening divisions among Gulf nations.

Sentiment toward technology stocks weakened after The Wall Street Journal reported that OpenAI’s revenue and new user growth fell short of its internal targets. The report added that CFO Sarah Friar warned company leadership about potential challenges in meeting future computing contract obligations if top-line growth does not accelerate, according to CNBC.

Market sentiment could turn more cautious as The Wall Street Journal reported on Wednesday that US officials said President Donald Trump has instructed aides to prepare for an extended blockade of Iran.

Traders widely expect the Federal Reserve to keep interest rates unchanged at Wednesday’s April meeting, maintaining the federal funds target range at 3.50%–3.75% for a third consecutive hold.