U.S. stock futures were little changed early Wednesday as investors took a breather following a strong start to the week, driven by renewed optimism surrounding the U.S.-China trade deal.

As of 07:00 ET (11:00 GMT), Dow Jones Futures edged up 10 points (0.1%), S&P 500 Futures rose 3 points (0.1%), and Nasdaq 100 Futures gained 40 points (0.2%).

On Tuesday, the Dow Jones Industrial Average slipped 0.6%, dragged down by an 18% plunge in UnitedHealth (UNH). However, the S&P 500 climbed 0.7%, and the Nasdaq Composite surged 1.6%, with tech stocks leading the gains.

The market has rebounded sharply on relief from the announced U.S.-China trade truce, with the S&P 500 now back in positive territory for the year for the first time since February.

Tariff Developments in Focus

Market participants are in a holding pattern following recent volatility triggered by President Donald Trump’s April tariff announcements. Investors are watching closely for any updates on additional trade deals or tariff adjustments.

Reuters reported that the U.S. may reduce the “de minimis” tariff on low-value packages from China to 30%. On Monday, the White House issued an executive order cutting duties on items valued under $800 to 54% from 120%, while maintaining the $100 flat fee and scrapping a planned hike to $200.

Fed Speakers in the Spotlight

With little in the way of U.S. economic data scheduled for release Wednesday, attention turns to commentary from Federal Reserve officials. Their remarks will be closely watched for clues on the interest rate outlook, especially after Tuesday’s inflation data came in below expectations.

“While easing trade tensions support growth, subdued inflation could give the Fed more room to delay rate cuts,” analysts at ING said, adding that a 25 basis point cut in September now seems more likely than a 50 bps move.

Cisco Earnings Eyed

Cisco Systems (CSCO) will report quarterly results Wednesday, with investors eager to assess the impact of U.S. tariffs on its financial outlook.

In Tuesday’s session, the tech sector got a boost as Nvidia (NVDA) jumped after announcing the sale of 18,000 AI chips to Saudi firm Humain, which plans to use them in a massive 500-megawatt data center.

Other earnings to watch include DXC Technology (DXC), Hawkins (HWKN), and Jack In The Box (JACK).

Oil Prices Slip After Inventory Jump

Crude prices dipped early Wednesday, retreating from a two-week high, after U.S. oil inventory data pointed to weaker demand.

At 07:00 ET, Brent crude fell 1.1% to $65.92 per barrel, while WTI dropped 1.2% to $62.91. The American Petroleum Institute (API) reported a 4.3 million barrel build in U.S. crude stockpiles last week.

Official data from the U.S. Energy Information Administration (EIA) is due later in the session and could offer more insight into demand trends. Both oil benchmarks had gained over 2.5% in the previous session on hopes of improved trade relations between the U.S. and China—the world’s top two oil consumers