Key facts
- US stock index futures were little changed on Tuesday.
- Crude oil prices were slightly higher, with Brent crude near its highest level since late April.
- The Federal Reserve is widely expected to hold rates steady on Wednesday.
- Markets are pricing in at least two more Fed rate hikes by mid-2027.
- Whirlpool shares dropped 8.8% after reporting a third-quarter loss and missing revenue estimates.
US stock index futures were little changed on Tuesday as crude oil hovered near its highest in six weeks, with investor attention focused on corporate earnings and the Federal Reserve's interest-rate decision. The Fed is widely expected to hold rates steady on Wednesday, though markets anticipate at least two more hikes by mid-2027 due to elevated inflation indicators amid the ongoing US-Iran conflict. John Velis, head of Americas Strategy at BNY, stated that maintaining credibility is paramount for the Fed, referencing the prolonged period of exceeding the inflation target. Crude oil prices saw a slight increase, with Brent crude nearing its highest level since late April. Major companies like Coca-Cola, Boeing, and PayPal are scheduled to report earnings before markets open on Tuesday, while Alphabet, Microsoft, and Amazon.com will report later in the week. Jefferies equity strategist Jane Gibbons noted that earnings growth for 'Magnificent 7' tech stocks might trail the rest of the S&P 500. Investor sentiment improved somewhat after AI lab Anthropic revealed its IPO filing, a step towards a potentially record-breaking listing.