Dow Futures are on the rise, indicating a continuation of the tech-driven gains observed in the prior session. Analysts evaluate the hawkish nuances present in the minutes from the Federal Reserve’s January meeting, as oil prices rise amid increasing military activity in the Middle East, heightening concerns regarding potential supply disruptions. and are set to announce their quarterly results, which may offer valuable insights into the condition of critical segments of the American economy.

Dow futures indicated an upward trajectory on Thursday, as investors analyzed the minutes from the Federal Reserve’s most recent policy meeting and anticipated earnings reports from key players in the retail and industrial sectors. As of 03:09, the Dow futures contract experienced an increase of 30 points, representing a rise of 0.1%. Meanwhile, S&P 500 futures saw an uptick of 16 points, or 0.2%, and another index rose by 86 points, equivalent to 0.3%. The primary indices experienced an uptick on Wednesday, driven by a rise in the stock of a prominent player in the artificial intelligence sector. Sentiment surrounding the semiconductor giant has been strengthened by a multi-year agreement to supply its current and next-generation chips to Meta Platforms, the parent company of Facebook. Concurrently, investors are preparing for the company’s eagerly awaited earnings report next week. Nvidia’s results have frequently acted as indicators of the AI boom. Gains were observed in the technology sector, particularly among companies such as SanDisk and Seagate Technology, whose digital storage services have become essential for the artificial intelligence industry. The increases alleviated certain market anxieties regarding the timeline for realizing returns from substantial investments in AI infrastructure, such as data centers. Software stocks experienced an uptick, marking a positive session for a sector that has recently faced turbulence due to perceived disruption risks associated with emerging AI models.

In the interim, investors meticulously analyzed the minutes from the Federal Reserve’s January meeting, seeking insights into the prospective trajectory of U.S. interest rates. Numerous analysts emphasized a remark from the central bank indicating that “several participants” expressed support for a “two-sided description” regarding the future rate decisions of the Federal Open Market Committee. This could suggest that rate hikes may be forthcoming if inflation continues to exceed the Fed’s 2% target level. In light of the Federal Reserve’s decision last month to halt a rate-cutting cycle that had been anticipated to extend into the middle of 2025, a consensus among analysts suggests that officials are likely to recommence reductions later this year. In light of recent signals pointing to a robust labor market alongside a deceleration in prices, which remain persistently high, there are speculations that the Federal Reserve may implement another rate cut as early as June. The bet remains largely intact, although the minutes indicated that the Fed is predominantly in a “wait-and-see mode,” analysts at Capital Economics noted in a report. Kevin Warsh, a long-time advocate for rate cuts and President Donald Trump’s choice to succeed Jerome Powell as Fed Chair, may face challenges in persuading his new colleagues of the necessity to significantly lower borrowing costs, they noted.

Oil prices experienced an uptick, driven by increased military activity in the Middle East, which has heightened concerns regarding potential disruptions to oil flows from this critical region. last gained 1% to $71.04 a barrel, and U.S. West Texas Intermediate crude futures rose 1.1% to $65.74 a barrel. Both benchmarks concluded the trading session on Wednesday with gains exceeding 4%, marking their highest settlements since January 30. Reports from the media indicating increased military and naval operations in the Persian Gulf have bolstered market views regarding supply vulnerability. Concurrently, expectations for a relaxation of sanctions on Russian energy exports diminished following the lack of progress in Russia-Ukraine discussions. Additional backing was provided by industry data indicating a more constrained supply scenario in the U.S., with the American Petroleum Institute reporting a decline in U.S. crude inventories by approximately 609,000 barrels for the week ending February 13. Official government data from the Energy Information Administration is scheduled for release later on Thursday.

Walmart is set to be a prominent feature on the earnings calendar ahead of the commencement of U.S. trading. The shares of the big-box giant have experienced significant appreciation this year, elevating its market capitalization beyond the $1 trillion threshold and establishing it as the preeminent entity within the consumer staples sector. Considering the significance of consumer spending in the U.S. economy, the outcomes from Walmart, which has seen increased sales due to its lower prices on essential goods appealing to inflation-affected shoppers, may provide further insight into the condition of the American economy during the vital holiday shopping period. This will also aid in setting the tone ahead of the earnings announcements from other retailers such as Home Depot and Target in the upcoming weeks. The combined returns may elucidate the dynamics of the U.S. economy, characterized by a two-speed or “K-shaped” structure, wherein affluent households and corporations maintain their spending, in contrast to lower-income consumers who face ongoing cost-of-living challenges.

In other news, Deere and Company is set to announce its results prior to the market’s opening. Long regarded as an indicator of the industrial sector, Deere indicated in November that it would encounter a substantial impact from extensive U.S. tariffs in 2026. This, in turn, is anticipated to exert pressure on profit margins at the farm-equipment manufacturer. However, CEO John May indicated that the effect may be somewhat alleviated by consistent demand for its forestry and small agricultural products, alongside implemented cost-cutting measures. Prior to taxation, the levies, which have adversely affected firms such as Deere that depend on imported raw materials, are projected to impact the company’s performance by approximately $1.2 billion in fiscal 2026. In the previous year, the impact amounted to approximately $600 million. Simultaneously, a decline in crop prices coupled with rising production costs has led numerous farmers to forgo the acquisition of substantial agricultural machinery such as tractors, favoring rentals or preowned alternatives instead.