United States stock futures held steady on Tuesday evening (Wednesday AEDT) as investors prepared for the release of key inflation data, following a volatile trading session driven by uncertainty over President Donald Trump’s tariff policies.
By 9:45 am AEDT (10:45 pm GMT) Dow Jones Industrial Average futures ticked up 0.1%, while S&P 500 futures and Nasdaq 100 futures gained 0.2% apiece.
In extended trading, Casey’s General Stores climbed 3% after exceeding third-quarter earnings per share (EPS) estimates, with same-store sales increasing 3.7% year-over-year.
Stitch Fix surged 20.8% after reporting better-than-expected second-quarter EPS and issuing strong guidance.
Groupon also popped 12.7% after revenue guidance outpaced expectations.
The positive after-hours action followed a tumultuous day on Wall Street, with all three major indices closing lower as investors reacted to Trump’s announcement that tariffs on Canadian steel and aluminium would be doubled to 50% starting Wednesday.
The move came in response to Ontario’s decision to impose a 25% levy on electricity exports to the U.S.
However, Ontario Premier Doug Ford later announced a pause on the surcharge. In response, White House trade advisor Peter Navarro clarified that while the 50% tariff would no longer take effect, a 25% duty on Canadian steel and aluminium would still be implemented as planned.
Analysts at ANZ commented on the potential fallout: "Ontario’s tariffs are expected to raise electricity prices for consumers in New York, Michigan, and Minnesota. President Trump also stated his intention to declare a national emergency on electricity within these affected areas. He flagged that further increased tariffs are coming on 2 April, specifically tariffs on cars, if Canada does not roll back its tariffs. He also called on Canada to drop tariffs on U.S. dairy imports."
Investor attention is now shifting to the release of February’s Consumer Price Index (CPI) report on Wednesday. Markets expect CPI to rise 0.3% month-over-month, with headline inflation expected at 2.9%.
The data could influence the Federal Reserve’s next steps, as concerns over inflation and slowing economic growth resurface. With consumers already grappling with high prices on essential goods such as eggs and coffee, investors remain wary of the economic impact of ongoing trade tensions.
