U.S. futures rose on Wednesday as the Federal Reserve continues to hold its September policy meeting. The central bank is due to announce its latest interest rate decision later on in the day, while Fed Chair Jerome Powell is slated to deliver an address. Futures on the Dow Jones Industrial Average and the S&P 500 both edged about 0.2% higher, while those on the Nasdaq 100 edged higher by 0.1%.
Tech stocks declined slightly during the previous trading session after Instacart’s IPO appeared to lose momentum after initially rallying on its debut. After jumping by 20%, the online grocery company’s stock gradually receded throughout the day, closing at just 12%.
According to the CME FedWatch Tool, traders are overwhelmingly expecting the Federal Reserve to hold interest rates steady in September, with this decision being priced at a 99% probability. But rather than focusing on the current rate decision, investors appear to be more concerned with how the central bank will look to act in the future, particularly further rate hikes. Observers will be sure to listen for hints in Powell’s address later today.