U.S. equity futures moved modestly higher early Wednesday as investors positioned for a delayed monthly employment report and continued to digest a heavy slate of corporate earnings.
At 02:33 ET, Dow futures were up 91 points, or 0.2%. S&P 500 futures rose 12 points, also 0.2%, while Nasdaq 100 futures added 48 points, or 0.2%.
The Dow Jones Industrial Average closed at a fresh all-time high on Tuesday, but the broader S&P 500 and the tech-focused Nasdaq Composite ended lower, weighed down in part by renewed debate over the disruptive impact of emerging artificial intelligence tools.
Financial stocks were under pressure after wealth-management start-up Altruis unveiled an AI-powered tax planning solution. The Charles Schwab Corporation (NYSE:SCHW) slid more than 7%, while Raymond James Financial, Inc. (NYSE:RJF) posted its steepest single-day drop since the height of the 2020 pandemic turmoil.
The weakness mirrored recent AI-driven selloffs in insurance brokers and software names, highlighting broader concerns that the fast-evolving technology could significantly reshape multiple industries. Still, some analysts argue that market anxiety may be running ahead of fundamentals.
Soft retail sales data also dampened sentiment, prompting speculation that U.S. growth could moderate in 2026. Expectations for a more dovish Federal Reserve stance increased, with CME FedWatch indicating a rising probability of an April rate cut.
Focus turns to U.S. jobs report
The main event of the day is the delayed January employment report.
Economists forecast that the U.S. economy added approximately 66,000 jobs last month, compared with 50,000 in December.
At its latest policy meeting, the Federal Reserve described the labor market as “stabilizing” after a period of sluggishness. That assessment, combined with inflation that remains elevated but steady, led policymakers to hold interest rates in the 3.5%–3.75% range.
Earlier this week, White House economic adviser Kevin Hassett warned that advances in artificial intelligence could weigh on job growth in the coming months, even as productivity improves.
With uncertainty surrounding both employment trends and inflation — the Fed’s dual mandates — the outlook for 2026 remains unclear. The payrolls data, along with Friday’s consumer price index, may offer further guidance on the likely trajectory of interest rates.
“Today’s jobs report is a pivotal event for the [foreign exchange] market. A materially weak print would likely pave the way for markets to price in a cut in April,” analysts at ING Groep N.V. said.
Ford forecasts strong year despite tariff-related hit
Ford Motor Company (NYSE:F) shares edged higher in extended trading after the automaker delivered profit and cash flow projections that exceeded expectations.
Ford guided for annual operating income of about $9 billion, above the roughly $8.85 billion anticipated by analysts. It also forecast free cash flow of $5.5 billion, topping market estimates.
However, the company reported a fourth-quarter operating loss of $11.1 billion — the largest in its history — after booking a $900 million charge tied to a delay in implementing a tariff-relief program introduced during the Trump administration.
Chief Financial Officer Sherry House said the company was informed of the “unexpected” change “very late” in 2025.
Takeover tensions around Warner
Separately, developments continued in the high-profile takeover battle involving Warner Bros. Discovery, Inc. (NASDAQ:WBD).
According to the Wall Street Journal, activist investor Ancora Holdings has accumulated a stake worth roughly $200 million and is preparing to urge Warner to reject a sweeping offer from Netflix, Inc. (NASDAQ:NFLX) for its film and television assets and HBO Max streaming service.
The report said Ancora may argue that Warner has not sufficiently engaged with a competing proposal from Paramount Skydance, led by David Ellison, which seeks to acquire the entire company rather than selected divisions.
Paramount has reportedly enhanced its bid by offering additional cash to Warner shareholders for each quarter the transaction remains incomplete and by covering any breakup fee associated with terminating the Netflix agreement. Nonetheless, its total offer — including debt — remains at $108.4 billion.
Gold and oil advance
Gold prices strengthened after weak U.S. retail sales data fueled expectations of slowing economic momentum, sharpening focus on the upcoming payrolls release.
Spot gold rose 0.4% to $5,047.08 per ounce, while futures gained 0.8% to $5,071.34, though prices remained below recent record highs.
Oil markets also moved higher. Brent crude climbed 1.2% to $69.64 per barrel, and U.S. West Texas Intermediate crude added 1.3% to $64.81 per barrel.
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