As of the latest check, Dow Jones futures dropped by 100 points, showing signs of a jittery market mood. S&P 500 and Nasdaq futures also slipped slightly below the flatline. This comes after a strong rebound on Tuesday, when the Dow surged over 700 points, ending a four-day losing streak. That rally was driven by falling bond yields and a surprise jump in consumer confidence.
U.S. stock index futures movement
- Dow futures slipped by 100 points
- S&P 500 and Nasdaq futures traded slightly below the flatline
- This followed Tuesday’s 700-point rally in the Dow, ending a 4-day losing streak
Main drivers today
- FOMC minutes from the Fed’s May meeting due 11:30 PM IST
- Nvidia earnings expected after U.S. markets close
Bond market update
- 10-year Treasury yield: 4.467%
- 2-year Treasury yield: 3.961%
- Yields rose slightly, signaling rate caution
Nvidia earnings preview
- Expected after market close
- Recently announced $5.5 billion write-down due to H20 chip and export issues with China
- Growth slowing but still stronger than most peers
Commodities
- Oil: Brent above $64, WTI near $61
- Gold: Rebounded to $3,309/oz after two days of declines
- Dollar Index: Climbing toward 100, pressuring gold
Major corporate updates
- Exxon Mobil: Selling 82.89% of Esso SAF in France for €400 million
- Macy’s: Beat earnings estimates, revenue at $4.6 billion, but stock still down 29% YTD
Global concerns
- Japan: 40-year bond yield spiked to 3.689%, raising capital flight concerns
- Taiwan: Cut 2025 GDP forecast to 3.10% from 3.14%
- EU tariffs: U.S. delayed 50% tariff on EU goods to July 9, following request from EU Commission President
IPO and capital market shifts
- Shein shifting IPO plans from London to Hong Kong due to regulatory delays
- Nissan planning over $7 billion in fundraising through bonds, loans, and asset sales
European data
- France: Consumer spending rose only 0.3% in April, well below the 0.8% estimate
Why are investors watching the FOMC minutes so closely?
The Federal Reserve’s meeting minutes, set to be released at 11:30 PM IST, are expected to offer deeper insights into the central bank’s thinking around inflation, interest rates, and economic risks. Traders are eager to find clues about how the Fed plans to navigate a landscape marked by uncertain trade policies, slowing growth in some regions, and sticky inflation.
With bond yields slightly higher on Wednesday—10-year Treasury at 4.467% and 2-year at 3.961%—there’s speculation the Fed could maintain its cautious stance. Any signals of rate changes or economic concerns could shake up markets further.
What’s the big deal about Nvidia’s earnings today?
Nvidia, the tech sector’s heavyweight, will report its quarterly results after U.S. markets close, or early Thursday morning IST. This report is highly anticipated, especially because Nvidia recently announced a massive $5.5 billion write-down due to inventory challenges related to its H20 chip and export restrictions to China.
Although Nvidia’s revenue growth still outpaces most of its peers, the pace is slowing sharply compared to last year. Given how influential Nvidia has become in the AI and semiconductor space, any earnings surprise—good or bad—could ripple across the entire tech sector.
What’s going on with oil, gold, and the dollar today?
Oil prices are bouncing slightly higher after falling 1% Tuesday. Brent is trading above $64 per barrel, while WTI is hovering near $61. The market is juggling mixed signals: potential OPEC+ production hikes and growing tensions around possible new U.S. sanctions on Russia.
Gold, after falling for two straight days, saw a minor rebound near $3,309 an ounce, as some traders looked for safe-haven assets. Still, gold remains under pressure from a stronger U.S. dollar, which climbed back toward the 100 level after a recent dip. The dollar’s strength is making gold pricier for global buyers.
What’s happening with major companies like Exxon and Macy’s?
Exxon Mobil is in talks to sell its 82.89% stake in French subsidiary Esso SAF to North Atlantic France SAS for €400 million (about $350 million). If finalized, this deal will shrink Exxon’s footprint in France. It follows Exxon’s 2024 announcement to shut down parts of its petrochemical business in the country. The company expects the deal to close by Q4 2025, pending regulatory approvals.
Meanwhile, Macy’s surprised Wall Street with better-than-expected quarterly numbers. Though comparable-store sales fell, the drop was smaller than analysts feared. Revenue came in at $4.6 billion, beating expectations. Still, Macy’s stock is down 29% year-to-date, and fell another 1% in early trading Wednesday. The retailer is sticking to its full-year sales outlook, despite rising tariffs and more aggressive promotions from competitors.
Are international trends adding to U.S. market concerns?
Yes, global economic shifts are adding another layer of uncertainty. In Japan, a spike in long-term government bond yields—with 40-year yields reaching 3.689%—is sparking fears that Japanese investors might pull capital out of U.S. markets. This could trigger a reversal of the yen carry trade and tighten global liquidity.
In Taiwan, the government has trimmed its GDP forecast for 2025 to 3.10%, down from 3.14%, pointing to concerns over U.S. tariffs and a slowdown in consumer sentiment.
On the trade front, U.S.-EU discussions continue, with President Trump postponing a 50% tariff on EU goods to July 9. The move follows a request from European Commission President Ursula von der Leyen. More updates are expected soon, according to Kevin Hassett, Director of the National Economic Council.
Could market uncertainty stretch into the summer?
According to Raymond James analyst Tavis McCourt, yes. Markets have swung wildly in recent months—from pricing in near-recession fears in April to overheating concerns by mid-May. Tariff reprieves are set to expire mid-summer, and the anticipated passage of the so-called “One, Big Beautiful Bill” may not bring immediate clarity. Expect market swings to continue through July and August as investors hunt for direction.
What else is making headlines today?
- Shein Group is now eyeing a Hong Kong IPO, moving away from London due to delays with Chinese regulatory approvals.
- Nissan Motor plans to raise over $7 billion through bonds, loans, and asset sales to address a looming debt wall. It’s also preparing to sell off stakes in Renault and other holdings.
- In France, consumer spending rose just 0.3% in April, well below the 0.8% estimate, highlighting ongoing weakness in household demand.
The US stock market is at a crossroads, balancing strong rebounds with lingering worries over monetary policy, corporate earnings, global capital flows, and trade tensions. Today’s events—the FOMC minutes and Nvidia’s earnings—could define the market’s next direction. With volatility expected to persist into summer, investors are bracing for what’s next.
Outlook
- Analysts expect continued volatility through July and August
- Markets remain sensitive to economic data, trade talks, and policy signals
FAQs:
Q1. What is affecting Dow futures ahead of Nvidia earnings and FOMC minutes?
Traders are cautious as Nvidia results and the Fed’s May meeting minutes are expected today.
Q2. Why did gold prices rebound in the US stock market today?
Gold rose slightly as markets awaited Fed signals and trade developments after a recent drop.
