U.S. stock futures fell slightly after modest gains on Wall Street Wednesday, as traders digested comments from President Trump, who said he is “not planning on doing anything” to remove Fed Chair Powell. Meanwhile, the Fed’s Beige Book reported that “uncertainty remained elevated,” leading businesses to remain cautious. On the data front, U.S. producer prices were flat in June, after an upwardly revised 0.3% rise in May. Annual wholesale inflation eased to 2.3%, the lowest since September. In corporate news, Tesla is preparing to launch a longer, six-seat version of its Model Y SUV in China, aiming to regain ground from local competitors with newer offerings. Johnson & Johnson topped Wall Street’s quarterly sales estimates and raised its FY guidance, despite mounting industry pressures from tariffs and potential drug price regulation. Meanwhile, ASML CEO Christophe Fouquet dialled back his 2026 sales growth forecast, citing trade disputes and geopolitical tensions as key headwinds.
The yield on the 10-year US Treasury note edged up to around 4.48 on Thursday, as market tensions eased after US President Donald Trump said it was "highly unlikely" he would dismiss Federal Reserve Chair Jerome Powell. Yields had declined the previous day after reports emerged suggesting that Trump might fire Powell soon, a move that investors feared could lead to quicker and deeper rate cuts. Meanwhile, investors now await the retail sales data, due later in the day, which may provide another snapshot of the health of the economy and the Fed’s policy outlook. This comes on the heels of mixed signals from recent inflation reports—where producer prices showed signs of softening, while consumer inflation picked up. On the trade front, Trump said Wednesday that the US would likely maintain its 25% tariff on imports from Japan and hinted at a potential new agreement with India, following his earlier announcement of a deal with Indonesia.
