Dow, Nasdaq Futures Drop as Supreme Court Reviews Trump Tariffs—Key Stocks Focus
U.S. stock futures experienced a decline on Wednesday, following a lower close in the previous session. Major benchmark indices saw futures drop as investors awaited key economic insights and judicial outcomes.
Supreme Court and Economic Indicators Impacting Markets
The Consumer Price Index (CPI) rose by 2.7% year-over-year in December, aligning with previous readings and economists’ expectations. Core CPI increased by 2.6% year-over-year, slightly below projections.
Investors are particularly focused on a Supreme Court ruling concerning President Donald Trump’s tariff authority. The decision, expected on Wednesday, has generated significant market anticipation. Meanwhile, the 10-year Treasury bond yielded 4.17%, compared to 3.52% for the two-year bond.
Market Performance Overview
| Index | Performance (+/-) |
|---|---|
| Dow Jones | -0.15% |
| S&P 500 | -0.16% |
| Nasdaq 100 | -0.16% |
| Russell 2000 | 0.14% |
The SPDR S&P 500 ETF Trust (NYSE:SPY) declined by 0.15%, trading at $692.73, while the Invesco QQQ Trust ETF (NASDAQ:QQQ) fell by 0.20% to $625.00.
Stocks in Focus
- Wells Fargo (NYSE:WFC): Down by 0.81% in premarket, with expected quarterly earnings of $1.67 per share on revenue of $21.65 billion.
- BP PLC (NYSE:BP): Dropped 1.84% after revealing potential $5 billion writedown in energy transition businesses.
- WeRide Inc. (NASDAQ:WRD): Rose 1.59% after launching the “WeRide Go” Robotaxi Mini Program on Tencent WeChat.
- TG Therapeutics (NASDAQ:TGTX): Surged 6.99% following optimistic fourth-quarter revenue estimates.
- Gelteq Ltd. (NASDAQ:GELS): Experienced a 56.04% increase due to positive preclinical results for its cannabinoid delivery platform.
Market Insights and Analyst Expectations
Analyst Jeremy Siegel predicts a promising economic outlook for 2026, citing a productivity surge that could support growth without reigniting inflation. His optimistic forecast includes a surprising fourth-quarter GDP growth estimate of 5.4%.
Siegel advises investors to seek diversification beyond high-valuation tech stocks, favoring small-cap stocks and non-tech cyclicals poised for higher returns. He emphasizes that earnings growth will play a critical role in driving investor returns moving forward.
Upcoming Economic Releases
Investors should monitor key reports scheduled for release on Wednesday morning:
- November U.S. retail sales and producer price index at 8:30 a.m. ET
- October U.S. business inventories and December existing home sales by 10:00 a.m. ET
Additionally, speeches from Federal Reserve officials, including Atlanta Fed President Raphael Bostic and New York Fed President John Williams, are expected throughout the day.
Global Market Movements
In the commodities market, crude oil futures declined by 0.98%, trading around $60.57 per barrel. Gold prices saw a slight increase, rising by 0.93% to approximately $4,629.12 per ounce.
Asian markets exhibited mixed results, with India’s Nifty 50 and China’s CSI 300 indices falling. Conversely, Australia’s ASX 200, Japan’s Nikkei 225, Hong Kong’s Hang Seng, and South Korea’s Kospi indices showed gains. European markets opened with varied performances amidst ongoing market developments.
