U.S. Stock Futures Steady Ahead of Fed Rate Decision

U.S. stock futures showed stability ahead of the Federal Reserve's crucial interest rate decision, with expectations leaning towards a possible rate cut. The Dow Jones Industrial Average futures remained mostly unchanged, while S&P 500 futures edged up by 0.1%.

This comes as traders are cautiously optimistic, following a mixed performance in global markets, particularly in Asia and Europe, where heightened geopolitical tensions and economic data have been influencing sentiment.

Asian shares reflected this cautious mood, with Japan's Nikkei 225 slipping 0.2% amid concerns over Japan-China relations and a revised contraction in Japan's economy of 2.3% for the July-September period.

Meanwhile, U.S. economic indicators released recently indicated an underlying inflation measure steady at 2.8%, and consumer inflation expectations have dipped to 4.1%, the lowest since January, indicating a potential easing of inflationary pressures.

Investors are closely monitoring these developments as the Fed's decision could mark the third rate cut of the year, aimed at supporting a slowing job market, while also weighing the risks of worsening inflation, which remains above the Fed's 2% target.

With oil prices slightly rising and the dollar gaining against the yen and euro, the focus remains on how the Fed will navigate this complex economic landscape in its upcoming meeting.