Investing.com - U.S. stock futures pointed to a modestly higher open for the major indices on Wednesday as investors remained cautiously optimistic ahead of the outcome of a Federal Reserve policy meeting expected to raise interest rates later in the day.
The blue-chip Dow futures rose 30 points, or 0.14%, by 07:00 ET (11:00GMT), the S&P 500 futures added 4.5 points, or 0.19%, while the tech-heavy Nasdaq 100 futures was up 8.38 points, or 0.15%.
The gains came after Wall Street ended lower on Tuesday, when the S&P 500 ended down 0.3% and the Dow fell 0.2% after a steep drop in oil prices.
The Fed is to make its latest monetary policy announcement at 14:00 ET (18:00GMT), followed by a press conference at 14.30 ET, with futures traders pricing in around a 93% chance of a hike, according to Investing.com’s Fed Rate Monitor Tool.
With a rate increase seen as a near certainty investors were awaiting fresh cues from the Fed on the expected pace of rate hikes this year.
Fed officials previously projected three rate hikes in 2017, but that might move up to four, amid signs of a recent uptick in inflation and continued strength in the jobs market.
The dollar remained subdued, with the U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, slipping 0.14% to 101.48.
Besides the Fed, the U.S. is set publish February inflation figures and a report on retail sales, also for February, at 8:30 ET (12:30GMT).
Meanwhile, oil prices rebounded after industry data showing a surprise drawdown in U.S. crude stockpiles eased worries over a global supply glut.
U.S. crude futures were up 1.97% at $48.66 a barrel, while international benchmark Brent rose 1.73% to $51.80.
Gold dipped 0.15% to $1200.95 before the Fed decision.