U.S. stock futures were mostly unchanged on Wednesday evening after Wall Street closed higher. Investor sentiment strengthened as expectations for a Federal Reserve rate cut increased following new economic data.
S&P 500 futures were flat at 6,861.0 points. Nasdaq 100 futures edged down 0.1% to 25,634.75 points by 21:11 ET (02:11 GMT). Dow Jones futures rose 0.1% to 47,996.0 points.
Wall Street rises as data boosts Fed cut expectations
During the regular session, the Dow Jones Industrial Average gained 0.9%. The S&P 500 added 0.3%, while the NASDAQ Composite rose 0.2%.
Markets are now pricing in about a 90% probability of a 25-basis-point rate cut at next week’s Fed meeting. This shift came after weaker labor market data. The latest ADP report showed U.S. private payrolls fell by 32,000 in November, a sharp reversal from the prior month and well below expectations for job growth.
The unexpected drop increased concerns about a cooling labor market, reinforcing the belief that the Fed may ease policy to support the economy.
The ISM services index for November registered 52.6, its strongest reading in nine months. However, underlying price metrics eased, signaling a softer inflation backdrop.
Speculation over future Fed leadership also added to the dovish sentiment. Reports suggested the Trump administration canceled interviews with several Fed chair candidates, boosting expectations that Kevin Hassett — viewed as more dovish than current chair Jerome Powell — could lead the central bank starting in 2026.
Microsoft slips as Salesforce and Five Below rise
Salesforce Inc. (NYSE: CRM) jumped 5% in after-hours trading after beating expectations on both revenue and earnings. The company also raised its FY26 revenue outlook to a range of $41.45 billion to $41.55 billion, projecting 9% to 10% year-over-year growth.
Five Below Inc. (NASDAQ: FIVE) rose 2.7% following a strong quarterly performance, with comparable sales up 14.3%.
In contrast, Microsoft Corporation (NASDAQ: MSFT) slipped 2.4%. The decline came despite the company denying a report from The Information that claimed Microsoft had reduced sales targets tied to its AI products.
