Stock futures rose in early morning trading on Wednesday ahead of a key inflation reading.
Dow Jones Industrial Average futures were up 79 points, or 0.25%. S&P 500 futures were up 0.34% and Nasdaq 100 futures were up 0.71%.
The moves come after the Dow fell for a fourth straight day on Tuesday in a volatile trading session that alternated between gains and losses. The S&P 500 rose 0.25% and the Nasdaq Composite gained about 1%.
Large-cap tech names, which have struggled in recent weeks, led gains on Tuesday. Microsoft and Apple each rose more than 1%.
Investors await the launch of April consumer price index Wednesday morning for the last temperature check on inflation. Raising prices has been a priority, especially as the Federal Reserve is raising interest rates and cutting its balance sheet to tackle inflation.
“We’re seeing signs month after month that inflation is peaking,” Brian Belski, chief investment strategist at BMO Capital Markets, told CNBC’s “Closing Bell: Overtime” on Tuesday. “But are we going to see some kind of surprise number? That could really get things going.”
Economists expect the CPI to rise 0.2% from a month earlier and 8.1% year over year, according to the Dow Jones Consensus Estimate. That compares with March’s 8.5% year-over-year pace.
Investors also look to earnings reports from companies like Toyota Motors, Walt Disney and Beyond Meat.