U.S. stock futures edged lower Wednesday as investors awaited the release of minutes from the latest Federal Reserve policy meeting. At 03:00 ET, S&P 500 futures were down 0.2%, Nasdaq 100 futures fell 0.3%, and Dow futures slipped 0.2%. Tuesday’s session closed mixed, with the S&P 500 down 0.6%, Nasdaq down 1.5%, and the Dow slightly higher.
Fed Minutes Could Reveal Policy Divisions
The minutes may highlight internal divisions after two Fed officials, Christopher Waller and Michelle Bowman, dissented at the last meeting—the first double dissent since 1993. Markets are pricing in a potential 0.25% rate cut next month, with possibly another later this year. Investors also look ahead to Fed Chair Jerome Powell’s speech at the Jackson Hole symposium on Friday for further guidance.
Retail Earnings in Spotlight
Target (NYSE:TGT) leads a wave of retail earnings, reporting Q2 results before the bell. Analysts expect EPS of $2.03 on revenue of $24.93 billion. Investors will watch for commentary on tariffs, digital sales growth, and competitive pressures from Walmart and Amazon. Other retailers reporting this week include Lowe’s (NYSE:LOW), TJX (NYSE:TJX), and Home Depot (NYSE:HD), which maintained its annual forecasts despite muted quarterly results.
U.S. Government Eyes Semiconductor Stakes
Washington is considering taking equity stakes in semiconductor firms receiving CHIPS Act subsidies, including Intel, Micron, TSMC, and Samsung, in exchange for grants. The move would mark a historic step in U.S. industrial policy, giving the government direct influence in strategic companies vital for national security.
Elon Musk Shelving Political Plans
Tesla CEO Elon Musk appears to be abandoning plans to start a new political party, the “America Party,” focusing instead on his companies. This shift is expected to reassure shareholders concerned about potential distractions from Tesla operations.
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