Futures tied to the Dow Jones Industrial Average fell about 0.2%, while S&P 500 futures slipped 0.2%. Nasdaq 100 futures declined 0.4%-0.5%, giving back some gains after the technology-heavy index rallied in the previous session.
The muted start follows a robust first half for US equities.
The Dow Jones Industrial Average advanced 8.9% in the first six months of 2026, marking its best first-half performance since 2021. The S&P 500 gained 9.6%, while the Nasdaq Composite rose 12.8%. The Russell 2000 surged nearly 22%, recording its strongest first-half performance since 1991.
Semiconductor and artificial intelligence-related stocks have been the key drivers of the market’s rally. The report said a record rally in chipmakers added nearly $2 trillion in combined market capitalisation to Micron, Intel and Advanced Micro Devices (AMD) during the second quarter, stated CNBC.
Investors are now awaiting remarks from Federal Reserve Chairman Kevin Warsh, who is scheduled to speak at the European Central Bank’s Forum on Central Banking in Sintra, Portugal.
Wall Street is not expecting Warsh to provide explicit forward guidance on monetary policy, investors will closely watch his comments for insights into the Fed’s assessment of inflation and the economy, amid growing expectations of further interest-rate hikes.
A fresh batch of US economic data, including the ADP private payrolls report, Challenger job cuts and manufacturing activity, is also due on Wednesday. The data will set the stage for Thursday’s closely watched June non-farm payrolls report, which will be released a day earlier than usual because of the US Independence Day holiday.
Meanwhile, geopolitical tensions remained on investors’ radar after peace talks in Qatar appeared to lose momentum. Iran said its delegation would not meet representatives of President Donald Trump’s team, dampening hopes of progress towards a longer-term agreement. Oil prices reversed earlier gains, with Brent crude easing towards $72 per barrel and WTI crude slipping below $69.
