S&P 500 Futures Edge Up as Oracle Leads Premarket Surge Ahead of Key PPI Report

S&P 500 Futures Inch Higher as Traders Eye PPI and Fed Rate Path

Stock index futures were mixed early Wednesday, with the S&P 500 and Nasdaq 100 inching higher while Dow futures slipped, as investors braced for the first of two critical inflation updates that could set the tone for the Federal Reserve’s next move. With the S&P 500 and Nasdaq closing at record highs on Tuesday, momentum remains positive—but fragile—as attention shifts to the producer price index (PPI) due this morning at 12:30 GMT.

Will the PPI Report Support a September Rate Cut from the Fed?

Today’s PPI release is the first of two inflation readings that could sway the Fed’s rate decision next week. Wall Street expects both headline and core producer prices to rise 0.3% in August, a pace that would signal persistent input cost pressures. Traders are pricing in a 25-basis-point cut at the September 17 FOMC meeting, but hotter-than-expected numbers could cast doubt on that move.

Early Wednesday, the 10-year Treasury yield held at 4.09%, while the dollar and gold were steady—reflecting a wait-and-see mood ahead of the data.

Oracle Rockets on AI Cloud Deals—Can the Rally Hold?

Oracle shares surged 29% premarket after disclosing $455 billion in remaining performance obligations, driven by four multibillion-dollar AI cloud deals. This backlog is up 359% year-over-year. Despite missing Q1 earnings estimates, the company forecast 14%–16% revenue growth for Q2 and expects cloud infrastructure revenue to hit $18 billion this year. Oracle also plans to invest $35 billion in data center expansion, potentially increasing that number based on demand. If the stock holds gains, it would mark Oracle’s best single-day performance since 1999.

UnitedHealth Lifts Dow as Buffett’s Bet Gains Credibility

UnitedHealth jumped 8.6% Tuesday after reaffirming its 2025 earnings outlook and calming fears over Medicare Advantage star ratings. Roughly 78% of its MA plan membership is estimated to fall within the four-star-or-higher category, supporting reimbursement levels. Warren Buffett’s $1.57 billion stake in the insurer has gained 12% in value since Q2, adding to bullish sentiment.

OPEC+ Supply Gains Keep Oil Traders Cautious Despite Middle East Tensions

WTI crude rose modestly to $62.90 a barrel despite geopolitical tensions following Israel’s strike on Hamas leadership in Qatar. Traders remained focused on the supply picture, as OPEC+ raised October output by 137,000 barrels per day. The EIA sees global supply outpacing demand, projecting inventories to build and pressure prices lower heading into year-end.

What’s Next for Markets? Watch CPI and Fed Reaction

The CPI report on Thursday could be the deciding factor for a September rate cut. JPMorgan warns that even a confirmed cut might trigger a “sell-the-news” reaction as investor positioning appears stretched and retail momentum is cooling.

With AI-linked names like Oracle gaining steam and gold drawing renewed interest as a hedge, traders will be monitoring inflation trends, Fed commentary, and retail participation closely to assess sustainability in this record-setting market.

More Information in our Economic Calendar.