Dow Jones Today: Futures Point to Higher Open as S&P 500, Nasdaq Look to Extend Winning Streaks

Stock futures are pointing to a higher open for major U.S. indexes on Wednesday, as investors await another day of congressional testimony from Federal Reserve Chair Jerome Powell ahead of a busy calendar for economic data and corporate earnings later in the week.

Futures tied to he Dow Jones Industrial Average were up 0.1%, while those linked to the S&P 500 and the Nasdaq 100 were up 0.3% and 0.4%, respectively. The S&P 500 and Nasdaq both hit record highs Tuesday and are riding multi-day winning streaks.

The recent rally has been fueled by the strong performance of tech stocks and hopes the Federal Reserve will cut its benchmark interest rate soon.

Chipmaker and AI investor darling Nvidia (NVDA) was on the move higher once again Wednesday, amid optimism about better-than-expected demand for its upcoming Blackwell platform to power artificial intelligence (AI). Tesla (TSLA), which has gained 44% over a 10-session winning streak, was also higher in premarket trading.

Market participants will be paying close attention to Fed Chair Powell’s comments during a second and final day of testimony before a congressional committee. On Tuesday, Powell told lawmakers that the Fed is weighing the risks of high inflation and rising unemployment as it decides when to cut the influential fed funds rate, which is at a 23-year high.

Moderating inflation and cooling labor market data have spurred hopes among investors that the central bank could cut rates as soon as September. The Fed will get its first reading on June inflation with Thursday’s release of consumer price index data, and Friday’s release of wholesale inflation numbers.

Market participants will also be turning their attention to earnings releases, which kick off in the coming days, notably with a number of big financial institutions reporting their quarterly numbers starting on Friday.