US stock futures rise on China trade de-escalation hopes; Fed on watch

(Reuters) -The future of the stock index was flourished on Wednesday as a hope for not escalating trade tensions with Beijing, while the continuous monetary policy meeting of the Federal Reserve remained focused.

Washington announced late on Tuesday that representatives of the two countries will meet during the weekend in Switzerland for ice trading discussions.

The meetings will follow weeks of the customs tariff that reaches and that established financial markets and concerns related to global economic growth.

Mixed signals left the world’s largest economies about the development of market negotiations in a state of uncertainty, which prompted many companies to see their expectations. Meanwhile, the US Central Bank adopted the waiting and viewing approach despite the signs of slowing growth.

The administration of president Donald Trump said that the possible deals with the main commercial partners are ongoing, but the markets have not yet witnessed tangible results on this front.

At 05:31 am ET, Download E-MINIS rose to 223 points, or 0.54 %, S&P 500 E-Minis rose 31.5 points, or 0.56 %, and Nasdaq 100 E-Minis rose 113.75 points, or 0.57 %.

The Federal Reserve is scheduled to announce its political decision on Wednesday afternoon, and it is expected that the interest rates will remain constant.

Traders are now almost prices in a discount rate in July, according to the data collected by LSEG, after a mixed bag of economic data last week indicated the slowdown in the economy and the flexible labor market.

Comments from policy makers to obtain evidence about how they planned to deal with monetary policy reduce this year will be examined, amid Trump’s repeated calls for the low interest rates and criticism of the Federal Reserve Chairman Jerome Powell, which led to the stumbling of investors in April.

“The head of the Federal Reserve will need to balance the guidelines on the future of monetary policy and defend the Federal Reserve from pressure from the administration,” said Kathleen Brooks, Director of Research at the XTB trading platform.

“It could be shouting sincerely from the Federal Reserve Bank on the market and reminds us that the last market gathering was a correction in the landmark,” he said, adding that the markets were expecting to tend from Powell from Powell.

Wall Street ended for the second consecutive session on Tuesday after comments from the administration failed to provide clarity on the commercial front.

S&P 500 is more than 8 % away from its high record in February, although all indexes have ranked a decrease in logging since the Trump’s mutual tariff in Trump on April 2.

The profits of the companies will remain on the radar, with Uber and Walt Disney between companies to report the results before opening the markets.