Key facts
- US stock futures rose Wednesday as bond yields eased ahead of the August PCE inflation report.
- The S&P 500 and Nasdaq are on pace for a second straight quarterly gain.
- The Dow is set for a quarterly fall and its first monthly decline since March.
- Traders are nearly evenly split on the chance of an October interest rate hike.
- Boeing climbed 2.9% after being selected for a $20 billion US Navy contract.
- Robinhood Markets gained 2.3% after announcing weekend stock trading.
US stock index futures were slightly higher on Wednesday as bond yields eased and some megacap and growth stocks ticked up. The S&P 500 and Nasdaq are on pace for a second straight quarterly gain, despite seeing weakness in September. The Dow, however, is set for a quarterly fall and its first monthly decline since March.
Investors are awaiting the August personal consumption expenditures (PCE) report, the Federal Reserve's preferred inflation gauge, which economists polled by Reuters expect to show annual inflation at 3.7%. Money market data indicates traders are now nearly evenly split on the likelihood of an October interest rate hike, a decrease from over 70% a week ago.
Other data due later in the day include the final reading of second-quarter GDP and comments from four Federal Reserve officials, including Minneapolis Fed President Neel Kashkari. September has been marked by volatility in bond markets and elevated crude oil prices, fueling inflation concerns and impacting risk assets globally.
In corporate news, Boeing climbed 2.9% after being selected by the Pentagon for a $20 billion contract to build the US Navy's next-generation stealth fighter, beating rival Northrop Grumman. Robinhood Markets gained 2.3% after announcing it will allow users to trade some US stocks around the clock on weekends.