U.S. Stock Futures Steady as Tech Weakness Persists and Fed Minutes Come Into Focus

U.S. stock index futures were little changed on Tuesday morning, after Wall Street ended lower in the prior session amid renewed declines in major technology stocks. Investors continued to navigate a holiday-shortened trading week while awaiting fresh guidance on the Federal Reserve’s policy outlook.

By 06:45 ET (11:45 GMT), S&P 500 futures were down 7 points at 6,948.0, Nasdaq 100 futures slipped 32 points to 25,707.75, and Dow Jones futures fell 33 points to 48,716.0. Trading activity remained muted, with many market participants away from their desks ahead of the New Year holiday later in the week.

Wall Street dips on tech losses; Fed minutes ahead

U.S. stocks closed lower on Monday, marking a second straight decline for the S&P 500 as heavyweight technology names retreated amid year-end profit-taking. The Nasdaq Composite and Dow Jones Industrial Average each fell about 0.5%.

After a strong rally earlier in December that pushed major benchmarks to or near record highs, investors moved to trim exposure to high-flying tech shares. Attention now turns to the release of minutes from the Federal Reserve’s most recent policy meeting, due later on Tuesday.

Markets will be watching the report for insight into policymakers’ views on inflation, labor-market conditions, and the appropriate path for interest rates, particularly as traders continue to price in the prospect of further easing in 2026. The minutes could help steer sentiment in what is otherwise a light week for economic data, with volumes expected to remain subdued due to the holiday calendar. U.S. markets will be closed later this week for the New Year break, further limiting participation.

Traders weigh seasonal optimism

Seasonal dynamics also remained in focus, with investors tracking the so-called Santa Claus rally — a period spanning the final days of December and the first sessions of January that has historically been associated with positive equity performance. While optimism around the pattern supported markets earlier in the month, recent declines have raised doubts over whether the rally will fully play out this year.

Even so, U.S. equities remain on course to end the year with strong overall gains, supported by expectations of eventual monetary easing, resilient economic growth, and solid corporate earnings.