Nasdaq, S&P and Dow futures cautious ahead of Fed Chairman Powell's speech

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Stock index futures showed little movement on Wednesday as the second quarter continued to have a shaky start ahead of a speech by Federal Reserve Chairman Jerome Powell.

Nasdaq 100 Futures (NDX:IND) -0.3% Dow futures (Indu) remains unchanged, S&P 500 futures (SPX) -0.1%.

Chairman Powell is scheduled to speak at noon, and markets are hoping for further indications that the Fed is in no hurry to cut rates. Federal funds futures are pricing in a 60% chance of a quarter-point rate cut in June.

The 10-year US Treasury yield (US10Y) rose 1 basis point to 4.37%, while the 2-year Treasury yield (US2Y) remained unchanged at 4.71%.

See how Treasury yields have changed across the curve on the Seeking Alpha Bonds page.

“For equities, concerns about interest rates remaining high for an extended period of time led to significant declines (Tuesday), with major indexes losing ground on both sides of the Atlantic,” said Henry Allen of Deutsche Bank.

Allen added that Magnificent 7, -0.90% fell to a two-week low, due in part to a decline in U.S. tech stocks.

Tesla (TSLA) closed 5% lower on Tuesday after reporting its first-quarter delivery results, which fell short of consensus estimates that had already been significantly lowered over the past three weeks.

The ADP jobs report for March is scheduled to be released before the bell. Economists expect private sector employment to rise by 148,000 jobs.

Pantheon Macroeconomics said: “Apart from economic activity, the market will also focus on price indexes, which fell sharply in February after surging in January. Further declines in March would be encouraging. Prices “The index tends to drive core-core CPI services inflation.” Ian Shepherdson.

After the bell, the S&P Global Services PMI for March is expected to be 51.7. The composite index is expected to decline slightly to 52.2.

And immediately after that, the ISM service index rose. Economists expect it to rise slightly to 52.8.

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