U.S. stock futures ticked up slightly Wednesday as investors absorbed the Senate’s approval of President Donald Trump’s sweeping tax-and-spending package, while awaiting key labor market data.
As of 05:35 ET (09:35 GMT), Dow Jones futures were up 75 points (0.2%), S&P 500 futures gained 10 points (0.2%), and Nasdaq 100 futures rose 25 points (0.1%). Major indexes traded within narrow ranges on Tuesday, ending the session mixed.
Senate Passes Trump’s Fiscal Package
The Senate narrowly passed President Trump’s expansive “One Big Beautiful Bill,” which now moves to the House of Representatives. Lawmakers aim to have it signed into law by July 4. The legislation extends Trump’s 2017 tax cuts, adds new tax relief measures, and boosts spending on defense and border security.
While Trump has praised the bill as a cornerstone of his economic agenda, some Republicans have expressed concern over its projected $3 trillion impact on the federal debt.
Trade Hopes Ahead of Tariff Deadline
Investors are also monitoring trade negotiations as the July 9 deadline approaches for the expiration of Trump’s temporary suspension of several tariffs. Recent developments—including a U.S.-China trade agreement, Canada’s reversal of a proposed digital tax, and indications that India is open to a deal—have lifted hopes for additional agreements.
Trump has ruled out extending the deadline and plans to formally notify countries of tariff terms via official letters. According to the Financial Times, the administration is now pivoting toward phased, narrowly scoped agreements to secure quick wins.
Focus Turns to Labor Market
On the data front, attention shifts to ADP’s private payroll report, due before the opening bell. Economists expect a gain of 120,000 jobs in June, a sharp rebound from May’s 37,000. Tuesday’s JOLTS data showed an uptick in job openings but weaker hiring, indicating some cooling in an otherwise strong labor market.
More insight will come with Thursday’s nonfarm payrolls report, a key input for the Federal Reserve as it evaluates its monetary policy path. Fed Chair Jerome Powell maintained a cautious, data-driven tone during his remarks at the ECB’s Sintra forum, despite ongoing criticism from President Trump.
Tesla Rebounds After Musk-Trump Clash
Tesla (TSLA) shares recovered slightly after Tuesday’s sharp decline, which followed renewed tensions between Trump and Elon Musk. The President accused Musk of benefiting excessively from federal subsidies and suggested a review of Tesla’s government support—a move seemingly tied to Musk’s public criticism of the tax-and-spending bill.
Oil Holds Steady Amid Ceasefire Hopes and Inventory Build
Crude oil prices were largely unchanged as markets assessed progress toward a potential Israel-Hamas ceasefire and digested a surprise rise in U.S. oil inventories. President Trump announced that Israel had agreed to a 60-day truce, urging Hamas to follow suit.
Data from the American Petroleum Institute (API) showed a build of 0.68 million barrels in U.S. crude stockpiles last week—following five consecutive weeks of steep draws. The official EIA inventory report is due later Wednesday.
