U.S. stock futures struggled for direction Wednesday, as investors take in more earnings reports and get ready for a key trade-related meeting between President Donald Trump and European Union chief Jean-Claude Juncker.
What are the main benchmarks doing?Dow Jones Industrial Average futures YMU8, -0.01% inched up by 4 points, or less than 0.1%, to 25,218, while S&P 500 futures ESU8, -0.07% shed 0.75 point to 2,820.25. Nasdaq-100 futures NQU8, +0.08% tacked on 6.75 points to 7,423.
On Tuesday, the Dow DJIA, +0.79% and S&P 500 SPX, +0.48% closed higher, powered by upbeat quarterly results from Google parent Alphabet Inc. GOOG, +3.53% GOOGL, +3.89% and other heavyweights, while the Nasdaq Composite COMP, -0.01% finished roughly flat.
The three gauges are showing year-to-date gains that range from 2.1% to 14%, as of Tuesday’s close.
What’s driving markets?Investors are worried about a potential global trade war, but those concerns have been offset by encouraging earnings reports.
Markets look set to respond to more developments on the trade-tensions front on Wednesday, as Juncker, the European Union’s top official, meets Trump at the White House to try to de-escalate the president’s trade fight with the EU.
Read: Europe counting on EU’s Juncker to try to calm trade fight with Trump
And see: Tariffs are ‘the greatest,’ Trump says ahead of EU chief’s visit
What are strategists saying?“Yesterday’s positive tone to equity markets has been replaced by caution as investors wait to see whether the Trump-Juncker meeting will produce any fireworks,” said Chris Beauchamp, chief market analyst at IG, in a note.
“Trump’s suggestion of imposing tariffs on all Chinese imports has uncomfortable implications for the EU, since it indicates he may not shrink from imposing them on all-important car imports from Europe, ramping up the trade war on the U.S.’s other flank,” Beauchamp added.
Opinion: How the Trump-Juncker meeting could lead to a trade-war truce
Which stocks are in focus?Shares in AT&T Inc. T, +2.19% fell 0.5% in premarket action after the telecom late Tuesday reported second-quarter results that beat expectations, but saw sales fall from a year ago.
Texas Instruments Inc.’s stock TXN, -0.76% was not yet active in premarket trading after the chipmaker’s quarterly results late Tuesday. The company’s results topped Wall Street’s estimates, but came as no surprise, having been telegraphed last week along with the chief executive’s departure announcement.
The companies on the earnings docket before the opening bell include Boeing Co. BA, +1.42% , Coca-Cola Co. KO, +0.69% United Parcel Service Inc. UPS, -0.24% , General Motors Co. GM, +0.53% and insurer Anthem Inc. ANTM, -1.11%
Fiat Chrysler Automobiles N.V. FCAU, +1.58% FCA, -0.04% is in focus following news that former CEO Sergio Marchionne has died. The car maker’s U.S.-listed shares slumped Monday after the company over the weekend appointed Mike Manley as its new CEO, in an unexpected move to replace the ailing Marchionne.
Which economic reports are on tap?A June reading on new home sales is slated to hit at 10 a.m. Eastern Time, with economists polled by MarketWatch forecasting 660,000 homes sold.
Check out: MarketWatch’s Economic Calendar
What are other markets doing?European stocks SXXP, -0.04% traded slightly lower, while Asian markets closed mixed.
Gold futures GCQ8, +0.42% and oil futures CLU8, +0.18% were advancing, as the ICE U.S. Dollar Index DXY, -0.15% slipped.
