Wall Street Set to Open Higher Amid Earnings Season and Fed Remarks

Wall Street is poised for a strong opening, driven by gains in major tech stocks and anticipation of remarks from Federal Reserve Chair Jerome Powell. This week, U.S. inflation data and second-quarter earnings reports from major banks are expected to provide further market direction.

Wall Street looked set to open higher on Wednesday as strength in shares of its biggest companies fuels a record rally, with Federal Reserve Chair Jerome Powell's remarks and crucial inflation data expected to offer more direction this week. AI-chip favorite Nvidia jumped 2.1% in premarket trading after hitting a nearly three-week high in the previous session.

Tesla, too, gained 0.3% after HSBC hiked its price target on the EV maker's stock, which clocked its longest winning streak of 10 sessions this year on Tuesday. The rest of the so-called "Magnificent Seven" stocks, including Apple, Alphabet and Microsoft, rose between 0.3% and 0.5%, as U.S. Treasury yields slipped.

At 8:40 a.m. ET, Dow e-minis were up 20 points, or 0.05%, S&P 500 e-minis were up 14.25 points, or 0.25%, and Nasdaq 100 e-minis were up 83 points, or 0.40%. Goodyear Tire & Rubber Company gained 1.6% after a report that Japan's Yokohama Rubber was in talks to buy its off-road tire business for at least $1 billion.