OPENING CALL
Stock futures were struggling for direction ahead of a big day in the market, with Jerome Powell's final interest-rate decision as Federal Reserve chair, and four of the largest technology companies due to report after the bell.
Results from Meta, Amazon, Alphabet and Microsoft come just a day after troubles at OpenAI whacked some tech company shares.
The Fed is widely expected to keep rates on hold, with today's policy deliberations to be overshadowed by the question of whether Powell will give up his seat on the Fed's board.
Oil rose after The Wall Street Journal reported that Trump told aides to prepare for an extended blockade of Iran , a stance that could encourage Tehran to retain its own grip on tanker traffic through the Strait of Hormuz.
Traders were also trying to weigh the geopolitical consequences of the United Arab Emirates' decision to leave OPEC.
ANZ said--although the country was no longer bound by quota constraints- -a sharp rise in Gulf supply appeared unlikely, as infrastructure damage would likely cap output.
Capital Economics said that the U.A.E.'s stance on the Iran war and decision to leave OPEC might signal a deeper alignment with the U.S. and Israel.
"The country was an early signatory to the Abraham Accords and has pledged large AI-related investments in the U.S."
"While speculative, the U.A.E.'s decision--and the prospect for higher oil production--could be seen as a positive decision in U.S.-Emirati ties insofar as it helps to reduce U.S. energy prices."
Earlier this month, the country opened talks with the U.S. about a potential currency swap line--which would give its central bank inexpensive access to dollars to support its currency or shore up foreign reserves in case of a liquidity crisis--due to concerns over the economic impact of the Iran war.
Stocks to Watch
Brown-Forman fell more than 3% premarket. Pernod said it had ended its pursuit of a tie up.
NXP Semiconductors ' profit more than doubled. Shares gained 16% to $267.01.
Robinhood Markets ' profit was below Wall Street expectations. Shares fell almost 10% premarket.
Seagate Technology Holdings more than doubled its third-quarter profit, citing AI data storage needs. Shares rose 16.5%.
Starbucks rose before the bell. CEO Brian Niccol said its sales rebound was picking up steam.
Visa revenue climbed on resilient consumer spending. The stock rose 4.8% off hours.
Western Digital jumped premarket and memory stocks were bouncing back after the strong earnings from Seagate.
Watch For:
Housing Start for February and March, Durable Goods Order, EIA Weekly Petroleum Status Report, Fed Rate Decision, Bank of Canada Rate Decision, Earnings from Alphabet, Amazon, Canadian National Railway, Ford, Meta Platforms and Microsoft
Today's Top Headlines/Must Reads:
-Rare-Earth Stocks Rise as China Looks to Tighten Production Oversight
-The Global Energy Order Is Breaking Down
-Iranians Feel the Pain as Their Economy Descends Into a Death Spiral
MARKET WRAPS
Forex:
The dollar rose as oil prices remained elevated.
Meanwhile, the Fed is expected to leave interest rates unchanged, a decision Commerzbank said wasn't likely to have much impact on the dollar.
BNP Paribas expected a weaker dollar despite relatively stronger U.S. growth compared with the rest of the world.
Structural diversification flows away from the dollar were still likely, it said.
"Those were evident in 2025 led by European investors and we think it's possible we'll see a broadening of that across 2026."
BNP Paribas expects the euro to rise above $1.20 this year.
The euro was lower against the dollar and ING said the Fed's decision and U.S.-Iran tensions could extend the euro's current losses.
Traders remain inclined to buy the euro when it falls below $1.17-which has emerged as a key benchmark level for sentiment on the Middle East among foreign exchange investors-it said.
The euro could see a more decisive break below that level if the Fed leaned in favor of tight monetary policy, risk sentiment was poor and there was a lack of progress toward reopening the Strait of Hormuz, it added.
Bonds:
The yield on 10-year Treasury notes edged up early Wednesday.
Global bond markets were reacting to risks to the global economy from the effective closure of the Strait of Hormuz and the uncertain timing on its reopening, Ofi Invest AM said.
"Bond markets have accordingly had to price in the inflationary risks that are being driven by higher oil prices."
This risk, which would send interest rates up, comes with risks of a recession, which would drive rates downward.
The probability of a stalemate under a stagflation scenario rose during the month, it said, adding that this would pose a quandary for central banks, as they may have to raise key rates and then lower them later.
According to Strategy Asset Managers, oil likely needs to settle back into the $70 range for yields to normalize.
"Once energy stabilizes, inflation expectations should follow, allowing Treasuries to revert toward more fundamental levels."
Nuveen reckoned that the Fed's meeting was unlikely to be the catalyst to break the 10-year Treasury yield from its recent tight trading range--as not even oil prices were now moving the needle.
" Next week's payrolls could be the pivot ."
Energy:
Oil prices remained elevated after Trump instructed aides to prepare for an extended blockade of Iran.
"Stalled peace talks have raised the prospect of an indefinite disruption to oil supplies from the Persian Gulf," ANZ said.
"The rebalancing of the market once the Strait of Hormuz is reopened will take years."
Traders are now watching for updates on peace negotiations and this week's U.S. crude inventory report for signals on how quickly stockpiles are declining amid strong export demand.
Phillip Nova said prices could extend gains if disruptions to maritime traffic through the Strait of Hormuz continued, lifting expectations for tighter supply.
Metals:
Gold futures were edging lower.
Prices have declined nearly 11% since the Iran war began, but the World Gold Council said persistent geopolitical uncertainty was still expected to drive investment demand and central-bank buying this year .
Goldman Sachs maintained a bullish outlook for gold, forecasting prices to reach $5,400 an ounce by the end of the year.
Phillip Nova expects the next downside support level for gold to be around $4,500 a troy ounce, followed by $4,350.
Copper
Copper futures were higher.
Sentiment remained fragile due to concerns over the impact of the Iran war on global demand growth.
While stronger physical demand in China had offered some support to prices, a more sustained recovery would likely require clearer signs of easing geopolitical tensions as well as a firmer outlook for industrial activity.
"The market is no longer being actively defended at previous levels, opening the door to further downside if macro pressure persists," Sucden Financial said.
TODAY'S TOP HEADLINES
Wells Fargo's Long-Anticipated Wall Street Expansion Is Here
Wells Fargo is finally ready to level up its Wall Street trading business. While it won't be matching the titans of this industry overnight, there is plenty of money to be made.
Following its release from a Federal Reserve-imposed asset cap last year, Wells Fargo has joined its peers above the $2 trillion total asset mark. And in particular, it has been adding the kinds of assets that are fuel for the business of Wall Street. In the first quarter of this year, Wells Fargo's average trading-related assets were up by more than 40% from the same time last year, the company reported.
UBS Net Profit Climbs on Boost From Investment-Banking, Wealth Units
UBS Group reported a sharply higher net profit for the first quarter, benefiting from strong performances across its investment-banking and wealth-management arms.
The Swiss bank said Wednesday that it remains on track to deliver on its objectives for 2026, as the group approaches the end of its integration of Credit Suisse while it tries to soften the blow from Switzerland's plans to revamp its banking rules.
AstraZeneca Gets Revenue Boost From Cancer Drugs
AstraZeneca reported rises in revenue and core earnings for the first quarter, saying growing sales of its cancer and rare-disease drugs lifted its results.
The U.K. drugmaker said Wednesday that it generated $15.29 billion in revenue compared with $13.59 billion in the year-earlier period, with an 8% rise when excluding currency changes. Analysts had forecast revenue at $14.94 billion, according to consensus estimates compiled by Visible Alpha.
TotalEnergies Increases Shareholder Returns as Iran Conflict Boosts Earnings
TotalEnergies said it would return more cash to shareholders as the conflict in the Middle East provides an earnings windfall.
The French energy major said Wednesday that it would resume share repurchases of up to $1.5 billion over the second quarter ending June as war-induced price rises deliver earnings and cash-flow growth. It also raised its interim dividend by nearly 6% to 0.90 euros ($1.05) a share.
Kone to Buy TK Elevator for Around $24 Billion
Finland's Kone agreed to buy German rival TK Elevator for around $23.66 billion from a consortium led by private-equity firms Advent and Cinven in a deal that would create the world's biggest elevator maker by sales.
Under the deal, Kone will pay the consortium around 5 billion euros in cash and up to 270 million in newly issued Kone shares, which currently have a total value of around EUR15.2 billion.
EU Says Meta Might Be Breaching Digital Law Over Minors' Use of Facebook, Instagram
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April 29, 2026 06:01 ET (10:01 GMT)
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