US stock futures slipped on Wednesday after a bruising day for tech stocks, as investors waited for Target earnings and Federal Reserve minutes for clues to prospects for the economy and interest rates.
The Dow Jones Industrial Average (YM=F) and the S&P 500 (ES=F) both slid 0.2% before the bell. Contracts on the tech-heavy Nasdaq 100 (NQ=F) dropped roughly 0.4%, after weakness in the likes of Palantir (PLTR) and Nvidia (NVDA) dragged on the broader market on Tuesday.
Investor interest in Big Tech appears to be waning as previously lagging sectors are showing signs of new life. Home Depot (HD) also reported earnings, with its stock getting a boost from rising US sales.
Two more retail giants, Target (TGT) and Walmart (WMT), are set to report their results on Wednesday and Thursday, respectively. How the group fares will offer a snapshot into how companies and consumers are handing President Trump's tariffs. Walmart's last earnings report took a dramatic turn over trade policy after it warned of price hikes, and Trump responded by telling the company to “eat the tariffs.”
Read more: The latest on Trump's tariffs
The main event for Wall Street this week, however, lands Friday, when Federal Reserve Chair Jerome Powell will deliver remarks at the Jackson Hole symposium in Wyoming. Investors are eager for a sense of where policymakers stand on the question of interest rate cuts after economic data this month showed they face a tricky dilemma between a weakening labor market and stubborn inflation.
The release of minutes from the Fed's July's meeting on Wednesday will serve as a curtain-raiser to Powell's speech. Policymakers held interest rates steady at that meeting and stressed no decisions had been made about September, despite Trump suggesting otherwise.
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