US stock futures were little changed on Wednesday as investors awaited a key inflation report that could shed light on recent price trends, though it is not expected to reflect the economic impact of the war involving Iran. In Tuesday’s regular session, the Dow Jones Industrial Average and the S&P 500 slipped 0.07% and 0.21%, respectively, while the Nasdaq Composite inched up 0.01%.
Nine of the 11 S&P 500 sectors finished lower, led by energy shares as oil prices pulled back sharply. In contrast, major semiconductor stocks advanced after Taiwan Semiconductor Manufacturing Company (TSMC) reported strong sales, lifting names such as Nvidia (up 1.2%), Micron Technology (up 3.5%), and Intel (up 2.6%).
The main indexes initially rose on optimism for a quick resolution to the conflict in the Middle East, but later reversed those gains after the White House confirmed that no naval escort operations had yet taken place in the Strait of Hormuz. US officials also indicated that military activity was intensifying and that the outlook for diplomatic negotiations remained limited.
