U.S. stock futures edged slightly higher on Sunday night as investors brace for the Federal Reserve’s highly anticipated policy meeting, with central bank policymakers expected to cut interest rates for the first time since 2020.
By 8:00 pm ET (12:00 am GMT) Dow Jones Industrial Average futures, S&P 500 futures, and Nasdaq 100 futures each ticked 0.1% higher.
The S&P 500 is now less than 1% away from its record high set in July. After a shaky start to the historically weak month of September, the three major U.S. indexes finished last week in positive territory, with the S&P 500 and tech-heavy Nasdaq Composite marking their best week of 2024.
The Federal Reserve will meet on Tuesday and Wednesday, with widespread anticipation that it will announce its first interest rate cut since its hiking cycle began in March 2022. A rate cut this week is seen as a key move, with many investors hoping the decision will lower borrowing costs for businesses and improve earnings growth, ultimately boosting the economy.
Investors will also keep a close eye on August retail sales data due Tuesday, as well as earnings reports from companies throughout the week including General Mills, Olive Garden parent company Darden Restaurants, and FedEx.
On the bond markets, 10-year and 2-year rates were at 3.655% and 3.584%, respectively.