U.S. Stock Futures Flat as Investors Await Inflation Data, Potential Fed Rate Cuts

U.S. stock futures hovered near the flatline on Tuesday, as investors awaited key inflation data and deliberated over the potential size of Federal Reserve interest rate cuts. By 07:00 ET (11:00 GMT), Dow and S&P 500 futures were largely unchanged, while Nasdaq 100 futures dipped 29 points (0.2%).

On Monday, the main indexes rose as traders sought bargains following a sell-off sparked by a weaker-than-expected August jobs report and sluggish manufacturing data. With the Fed’s Sept. 17-18 meeting approaching, markets are almost certain of a rate cut, though it’s unclear whether policymakers will opt for a 25 or 50-basis point reduction. More insight may come with Wednesday’s U.S. consumer price index release, a critical inflation measure.

Apple Shares Slip Premarket After iPhone 16 Launch and EU Court Ruling

Apple’s stock ticked down in premarket trading after unveiling AI-enhanced iPhone 16 models, as well as a ruling by the European Union’s top court ordering the company to repay €13 billion in back taxes. The iPhone 16, set for release on Sept. 20, features upgrades in AI, including improvements to Siri and new camera capabilities for professional video editing. Despite these innovations, analysts noted that the updates largely met expectations based on Apple’s earlier AI plans, dubbed “Apple Intelligence.”

Meanwhile, the European Court of Justice ruled that Apple must repay Ireland €13 billion in back taxes. The court found that Apple Sales International (ASI) and Apple Operations Europe (AOE) received unlawful state aid through tax benefits from 1991 to 2014.

Oracle Shares Surge on Strong Cloud Business Performance

Oracle shares rose sharply premarket after reporting stronger-than-expected fiscal Q1 results, driven by robust demand in its cloud services. The company posted adjusted earnings per share of $1.39 on $13.3 billion in revenue, surpassing analysts’ expectations. Oracle also announced a strategic partnership with Amazon Web Services (AWS), enabling customers to access its Autonomous Database and Exadata Database Service on AWS platforms. Oracle’s partnerships with Microsoft-backed OpenAI and Google Cloud were also highlighted as part of its expanding AI infrastructure strategy.

CEO Safra Catz emphasized that Oracle’s database business is “thriving” and the company’s cloud agreements with Microsoft, Google, and AWS provide greater flexibility for customers to run Oracle databases in the cloud.