U.S. stock futures signalled a stronger open on Wednesday, pointing to a continuation of the rally seen over the past two sessions, with semiconductor shares once again expected to lead the market higher.
Chipmakers and related names were among Tuesday’s standout performers, and early trading indications suggested that momentum would carry into midweek. U.S.-listed shares of ASML (NASDAQ:ASML) climbed about 5% in premarket trading after the Dutch chip-equipment supplier reported robust fourth-quarter results and struck an upbeat tone on its outlook for 2026.
The positive mood extended across global markets, with South Korea’s SK Hynix surging in Asian trading after delivering better-than-expected quarterly results and posting a record full-year profit for 2025.
The sector also drew support from a Reuters report saying Chinese authorities have approved purchases of Nvidia’s (NASDAQ:NVDA) H200 artificial intelligence chips by several of the country’s largest technology groups. Nvidia shares rose roughly 1.6% ahead of the opening bell. According to people familiar with the matter, Alibaba (NYSE:BABA), ByteDance and Tencent have been cleared to buy more than 400,000 H200 chips combined.
Despite the upbeat start, overall trading could remain cautious as investors await the Federal Reserve’s monetary policy decision later in the day. While the central bank is widely expected to leave interest rates unchanged, markets will be watching closely for any signals from policymakers on the future direction of rates.
Attention will also turn to earnings after the close, with heavyweight technology companies Microsoft (NASDAQ:MSFT), Meta Platforms (NASDAQ:META) and Tesla (NASDAQ:TSLA) all due to report.
On Tuesday, Wall Street closed mixed. The Nasdaq and S&P 500 extended their gains, while the Dow Jones Industrial Average moved sharply lower. The Nasdaq rose 215.7 points, or 0.9%, to finish near a three-month high, and the S&P 500 added 0.4% to close at a record level. In contrast, the Dow fell nearly 409 points, or 0.8%, despite recovering from steeper losses earlier in the session.
Optimism around upcoming tech earnings helped underpin broader market strength. Shares of Microsoft rose 2.2%, Apple gained 1.1%, and Meta edged modestly higher. Positive results from General Motors (NYSE:GM) and UPS (NYSE:UPS) also lifted sentiment.
By contrast, UnitedHealth (NYSE:UNH) weighed heavily on the Dow, with its shares plunging nearly 20% after the insurer issued disappointing revenue guidance despite slightly beating quarterly earnings expectations. The broader insurance sector was further pressured by a Trump administration proposal that would keep Medicare Advantage reimbursement rates largely flat.
Economic data also drew attention, after the Conference Board reported a sharper-than-expected drop in U.S. consumer confidence in January. The index fell to 84.5 from an upwardly revised 94.2 in December, defying forecasts for an increase and marking its lowest level since May 2014.
Sector performance reflected these crosscurrents. Semiconductor stocks jumped, pushing the Philadelphia Semiconductor Index to a fresh record close. Computer hardware and networking shares also advanced, helping lift the tech-heavy Nasdaq. Outside of technology, oil service stocks rose alongside crude prices, while healthcare, airline and housing stocks faced notable selling pressure.
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