US Stocks Open Higher as Investors Await Fed Minutes
U.S. stocks opened slightly higher on Wednesday as investors looked ahead to the release of the Federal Reserve’s January meeting minutes for guidance on future monetary policy.
At 09:32 ET (14:32 GMT), the S&P 500 rose 0.1% to 6,853.77. The NASDAQ Composite gained 0.2% to 22,624.40, while the Dow Jones Industrial Average climbed 0.2% to 49,618.85.
The previous session saw modest gains across major indices, supported by a mild rebound in technology stocks after recent volatility.
Federal Reserve Minutes in Focus
Markets are closely watching the Fed minutes, which are expected later Wednesday. The report should provide further insight into the central bank’s outlook on interest rates.
In January, the Federal Reserve kept rates unchanged and signaled caution due to persistent inflation and concerns about labor market conditions. Notably, Fed governors Stephen Miran and Christopher Waller dissented from the decision to pause rate cuts.
Economic data also drew attention. U.S. industrial production and manufacturing output both rose more than expected in January. Investors are now looking ahead to Friday’s release of the personal consumption expenditures (PCE) price index, the Fed’s preferred inflation measure.
Uncertainty surrounding the Federal Reserve has weighed on Wall Street in recent weeks. Concerns intensified after President Donald Trump nominated Kevin Warsh as the next Fed Chair, a move some investors viewed as less dovish.
Palo Alto Shares Slide Despite Earnings Beat
Technology stocks remain under pressure as investors evaluate the long-term impact of artificial intelligence on the sector. Questions persist about when large investments in AI infrastructure will generate meaningful returns.
Palo Alto Networks reported quarterly results that exceeded expectations on revenue and earnings. However, the company’s profit guidance disappointed investors. Shares dropped 8.2% shortly after the market opened.
The cybersecurity firm provides AI-powered solutions to protect networks and cloud environments, including firewalls, threat intelligence, zero-trust security, and secure access service edge (SASE) platforms.
Other companies scheduled to report earnings Wednesday include Booking Holdings, Carvana, and DoorDash.
Oil Prices Rebound After Previous Decline
Oil prices recovered after falling nearly 2% in the previous session. Brent crude futures for April delivery rose 2.9% to $69.34 per barrel, while West Texas Intermediate (WTI) gained 2.8% to $64.02 per barrel.
The earlier decline followed reports of progress in U.S.–Iran nuclear talks. Officials from Washington and Tehran reportedly agreed on key “guiding principles,” raising the possibility of a future deal that could increase Iranian oil supply to global markets.
