(Reuters) -Futures tied to the S&P 500 touched a record high on Wednesday, driven by a surge in cloud firm Oracle, as investors awaited producer prices data due later in the day for insights into U.S. inflation.
Oracle soared nearly 29% in premarket trading after it said it expected booked revenue at its Oracle Cloud Infrastructure business to exceed half a trillion dollars, as demand for its low-cost cloud infrastructure services grew.
Some chipmakers rose, with Nvidia gaining 2%, Advanced Micro Devices 3.3% up and Broadcom adding 2.2%.
Companies supplying power to data centers also rose, with Constellation Energy up 1.4%, Vistra advancing 2.8% and GE Vernova 2.5% higher.
A producer prices report will be watched later in the day to assess the impact of U.S. President Donald Trump’s tariff policies and whether it could help make the case for a jumbo 50-basis-point cut at the Federal Reserve’s meeting next week.
A consumer prices reading is expected on Thursday.
Recent labor market data has confirmed a slowdown in the U.S. jobs market, prompting traders to price in an at least 25-bps cut in interest rates at the Fed’s September 16-17 meeting.
August nonfarm payrolls data led traders to bet on a bigger-than-usual 50-bps reduction, with its probability standing at 10%, CME’s FedWatch tool showed.
At 05:15 a.m. ET, Dow E-minis fell 115 points, or 0.25%, S&P 500 E-minis rose 9.25 points, or 0.14%, and Nasdaq 100 E-minis added 18.25 points, or 0.08%.
Meanwhile, a federal judge on Tuesday temporarily blocked Trump from removing Fed Governor Lisa Cook, an early setback for the White House in an unprecedented legal battle that could potentially upend the central bank’s long-held independence.
The three main indexes closed at record highs on Monday after a downward payrolls revision kept rate-cut bets intact, while a rise in UnitedHealth shares aided gains.
Wall Street has had a broadly positive start to September – a month deemed historically bad for U.S. equities – with the benchmark index losing 1.5% on average since 2000, according to data compiled by LSEG.
Barclays raised its year-end 2025 target for the S&P 500 – for the second time in three months – to 6,450 from 6,050.
In other stocks, Synopsys slid 20% before the bell after the chip design software provider missed Wall Street estimates for third-quarter revenue on Wednesday.
Peer Cadence Design Systems slipped 3.8%.
GameStop gained 8.3% after the video game retailer reported higher second-quarter revenue.
(Reporting by Purvi Agarwal in Bengaluru; Editing by Pooja Desai)
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