On Wednesday, stock futures indicated a positive start as equities looked to recover from previous losses triggered by Federal Reserve Chairman Jerome Powell’s comments on inflation and interest rates. Powell’s remarks, highlighting a lack of further progress in reaching the Fed’s inflation goal of 2%, pushed back expectations for interest-rate cuts to later in the year.
United Airlines reported an adjusted first-quarter loss narrower than analysts’ estimates, with revenue increasing on strong travel demand. The company also provided a positive outlook for second-quarter earnings, leading to a 5.4% rise in its stock price.
ASML Holding experienced a 3.8% decline after first-quarter orders missed analysts’ expectations. The Dutch semiconductor equipment provider’s net bookings fell below consensus estimates.
U.S. Steel, Alcoa, and Cleveland-Cliffs rose following President Biden’s call for tariffs on imported Chinese steel and aluminum to be tripled from current levels.
Trump Media & Technology Group continued its decline, falling 1% in premarket trading. The parent company of the Truth Social platform has seen a significant drop in its market cap recently.
J.B. Hunt Transport Services reported lower first-quarter earnings and revenue due to weakened demand and declining trucking volumes, leading to a 4.9% decline in its stock price.
Autodesk fell 3.5% after announcing an ongoing internal investigation of its accounting practices, leading to a delay in filing its annual report.
Interactive Brokers Group saw its first-quarter earnings rise from a year earlier, driven by increased trading activity. Despite matching Wall Street’s expectations, the stock fell 1.3%.
Urban Outfitters dropped 3.7% after analysts at Jefferies downgraded the retailer’s shares, citing concerns, and reducing their price target.
Take-Two Interactive Software announced plans to cut 5% of its workforce as part of a cost-saving program. The stock rose 0.4% following this announcement.
Looking ahead, investors anticipate earnings reports from several companies, including Abbott Laboratories, CSX, U.S. Bancorp, Travelers, Las Vegas Sands, Discover Financial Services, and Alcoa. These reports could further impact market sentiment and trading activity.
As markets navigate uncertainties surrounding inflation and interest rates, investors remain cautious and closely monitor economic indicators and corporate developments to inform their investment decisions.