United States stock futures were trading slightly lower on Tuesday evening (Wednesday AEST) as investors awaited the release of another key inflation report while continuing to monitor geopolitical tensions and corporate earnings.
By 10:15 am AEST (12:15 am GMT), Dow futures were down 0.1%, while S&P 500 futures and Nasdaq 100 futures slipped 0.2%.
In after-hours trading, energy company Nextpower surged 10.7% after lifting its full-year revenue guidance to between US$3.8 billion and $4.1 billion, up from its prior forecast range of $3.6 billion to $3.8 billion.
The company also reported fiscal fourth-quarter adjusted earnings per share (EPS) of $1.05 versus $0.92 expected on revenue of $880.52 million versus $826.26 million expected.
Meanwhile, aerospace and defence company Karman tumbled nearly 12.2% after reporting adjusted first-quarter EPS of $0.11 versus $0.12 expected on revenue of $151.21 million versus $150.79 million expected.
The muted futures trade followed a mixed session on Wall Street earlier Tuesday, when both the S&P 500 and Nasdaq Composite retreated from record highs.
The S&P 500 declined 0.2%, while the technology-heavy Nasdaq Composite dropped 0.7%. The Dow Jones Industrial Average outperformed, rising 0.1%.
Technology stocks came under pressure alongside rising oil prices after U.S. President Donald Trump criticised the fragile ceasefire between the United States and Iran.
Trump described the month-old truce as “unbelievably weak” and “on massive life support” after rejecting what he called an “unacceptable” Iranian counterproposal aimed at ending the conflict.
Investor sentiment was also affected by a stronger-than-expected inflation report released earlier in the day, which showed U.S. consumer prices rose at their fastest annual pace since May 2023.
Markets are now focused on Wednesday’s producer price index (PPI) report for April, which could provide further clues on inflation trends and the outlook for Federal Reserve policy.
Markets are expecting headline producer prices to rise 0.5% during the month, matching March’s pace. Excluding food and energy prices, core producer inflation is forecast to increase 0.3%.
Despite Tuesday’s weakness in technology shares, artificial intelligence-related stocks have continued to dominate market performance throughout the year, helping drive major U.S. indices to record levels.
Investors are also preparing for another round of corporate earnings results before Wednesday’s opening bell, including reports from Allianz, Birkenstock, Alibaba and Nebius.
