U.S. stock index futures edged slightly lower on Wednesday as investor attention turned toward Nvidia’s highly anticipated earnings report.

As of 05:45 ET (09:45 GMT), Dow Jones futures were down 100 points, or 0.2%, while S&P 500 futures slipped 12 points, also 0.2%. Nasdaq 100 futures dropped 50 points, mirroring the 0.2% decline across major indexes.

Wall Street posted strong gains on Tuesday after former President Donald Trump announced a delay on 50% tariffs against the European Union, lifting risk sentiment. Markets were further supported by a sharp rebound in May’s Consumer Confidence, which broke a five-month downtrend and came in well above expectations.

The S&P 500 jumped 2.1%, the Nasdaq Composite surged 2.5%, and the Dow Jones Industrial Average climbed 1.8%.

Nvidia Earnings in Focus as AI Demand Surges

All eyes are now on Nvidia (NVDA), which is scheduled to report first-quarter earnings after the market closes. Analysts expect the AI chip giant to post earnings per share of $0.893 and revenue of $43.12 billion for the quarter ending April 30, according to Investing.com — both sharply higher year-over-year.

Nvidia has likely benefited from robust demand in the U.S., driven by major AI-focused clients investing heavily in data center infrastructure. However, market participants will be particularly focused on the company’s forward guidance, which could shape broader tech sentiment heading into 2025.

Investors are also watching for any updates on Nvidia’s business in China, amid tighter U.S. export controls and rising competition in the region. CEO Jensen Huang recently called the export restrictions a “failure” and projected that China could grow into a $50 billion market in the coming years.

Other earnings reports due Wednesday include Macy’s (NYSE: M), Abercrombie & Fitch (NYSE: ANF), and Dick’s Sporting Goods (DKS). Meanwhile, shares of Okta (OKTA) slumped in premarket trading after the software firm maintained cautious guidance, citing ongoing macroeconomic uncertainty.

Fed Minutes in the Spotlight

Later today, the Federal Reserve will release minutes from its May policy meeting, which investors will analyze for any signals on future interest rate moves amid an uncertain economic backdrop.

Minneapolis Fed President Neel Kashkari on Tuesday urged patience, recommending that rates remain unchanged until the economic impact of new tariffs becomes clearer. He warned against ignoring potential inflationary pressures stemming from supply-side shocks triggered by evolving trade policy.

Kashkari’s comments come amid heightened trade tensions, with Trump’s proposed tariffs creating policy uncertainty that could force central banks to choose between controlling inflation and supporting growth.

Oil Prices Rise Ahead of OPEC+ Meeting

Crude oil prices moved higher on Wednesday, driven by concerns that additional sanctions on Russia could disrupt global supplies. However, gains were modest as traders remain cautious ahead of this weekend’s OPEC+ meeting.

As of 05:45 ET, Brent crude rose 0.7% to $64.03 a barrel, while West Texas Intermediate (WTI) gained 0.8% to $61.39.

OPEC and its allies, known collectively as OPEC+, are expected to consider further production increases following earlier supply hikes in May and June. As the group gradually unwinds previous output cuts, markets are also reacting to geopolitical risk, particularly comments from Trump suggesting new sanctions could be imposed on Russia. He warned that President Vladimir Putin was “playing with fire,” raising concerns about potential disruptions to Russian oil exports.

Traders are also awaiting the delayed release of weekly inventory data from the American Petroleum Institute, which was pushed back due to Monday’s U.S. Memorial Day holiday.