Futures Pointing To Modestly Higher Open On Wall Street

(RTTNews) - After coming under pressure over the course of the previous session, stocks may move back to the upside in early trading on Wednesday. The major index futures are currently pointing to a modestly higher open for the markets, with the S&P 500 futures up by 0.1 percent.

The upward momentum on Wall Street comes despite ongoing concerns about the ongoing conflict between Israel and Iran.

Iran's supreme leader Ayatollah Ali Khamenei threatened the U.S. with "irreparable damage" if the country engages in the clash after President Donald Trump demanded Iran's "unconditional surrender" in a post on Truth Social on Tuesday.

However, trading may be somewhat subdued ahead of the Federal Reserve's announcement of its latest monetary policy decision this afternoon.

While the Fed is widely expected to leave interest rates unchanged, the accompanying statement and Fed officials' latest projections may provide clues about the outlook for rates.

On the U.S. economic front, a report released by the Labor Department showed first-time claims for U.S. unemployment benefits edged modestly lower in the week ended June 14th.

The report said initial jobless claims dipped to 245,000, a decrease of 5,000 from the previous week's revised level of 250,000.

Economists had expected jobless claims to slip to 245,000 from the 248,000 originally reported for the previous week.

Meanwhile, the Labor Department said the less volatile four-week moving average crept up to 245,500, an increase of 4,750 from the previous week's revised average of 240,750.

With the uptick, the four-week moving average reached its highest level since hitting 246,000 in the week ended August 19, 2023.

The Commerce Department also released a report showing a steep drop by new residential construction in the U.S. in the month of May.

Stocks moved notably lower during trading on Tuesday, giving back ground following the rebound seen in the previous session.

The Nasdaq slid 180.12 points or 0.9 percent to 19,521.09, the S&P 500 decreased 50.39 points or 0.8 percent to 5,982.72 and the Dow fell 299.29 points or 0.7 percent to 42,215.80.

In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Wednesday. Japan's Nikkei 225 Index advanced by 0.9 percent, while Hong Kong's Hang Seng Index slumped by 1.1 percent.

The major European markets are also mixed on the day. While the U.K.'s FTSE 100 Index is up by 0.2 percent, the French CAC 40 Index is down by 0.1 percent and the German DAX Index is down by 0.3 percent.

In commodities trading, crude oil futures are climbing $0.51 to $75.35 a barrel after surging $3.07 to $74.84 a barrel on Tuesday. Meanwhile, an ounce of gold is trading at $3,406, down $0.90 compared to the previous session's close of $3,406.90. On Tuesday, gold fell $10.40.

On the currency front, the U.S. dollar is trading at 144.92 yen compared to the 145.29 yen it fetched at the close of New York trading on Tuesday. Against the euro, the dollar is trading at $1.1503 compared to yesterday's $1.1480.