Stocks are on target to kick off Wednesday's session with modest gains following buoyant results and guidance from technology bellwether Intel (INTC), although disappointing retail sales figures took some of the air out of traders' sails. The major index futures are all in positive territory, with the Dow futures up by 16 points.
Any early buying is likely to come with a sense of caution following six straight days of gains, a substantial amount of second quarter earnings still to come and additional economic data due to be released later today.
Equities are poised for a higher open as Intel Corp. said that it swung to a $2.9 billion second quarter profit, helped by higher revenue, sharply improved margins and the absence of a hefty charge that it took in the prior year quarter as a result of a fine imposed by the European Commission. The company's quarterly earnings came in above analysts' expectations as did its quarterly revenue.
Meanwhile, the Commerce Department reported that retail sales for June fell by more than economists had been anticipating, with auto and gasoline sales showing notable decreases.
Retail sales fell by 0.5 percent in June following a revised 1.1 percent decrease in May. Economists had expected a more modest decrease in sales of about 0.2 percent compared to the 1.2 percent drop originally reported for the previous month.
Excluding a 2.3 percent drop in sales by motor vehicle and parts dealers, retail sales edged down by only 0.1 percent compared to a 1.2 percent decrease in the previous month. The modest decrease came in line with economist estimates.
At 10:00 a.m. ET, the Commerce Department will release a report on May's business inventory levels, with economists forecasting that business inventories rose 0.2 percent for the month following a 0.4 percent increase in April.
Also this morning, the Energy Information Administration will release its customary report on oil inventories for the week ended July 9th that might provide cues for the direction of oil prices. Ahead of the release of the report, scheduled for 10:30 a.m. ET, crude oil futures are down by $0.50 to $76.65 a barrel.
This afternoon, the Federal Reserve will release the minutes of the June 22nd-23rd Federal Open Market Committee meeting, with traders looking to get a glimpse at central bankers' assessment of economic conditions. The minutes will be released at 2:00 p.m. ET.
In other earnings news, restaurant chains operator Yum! Brands Inc. (YUM) said that its second-quarter profit declined by 6 percent over last year on higher provision for income taxes. However, adjusted earnings grew 17 percent, and came in above the analyst expectations, as strong growth in China and Yum! Restaurants International helped offset weakness in the company's U.S. operations.
Networking and communications equipment provider Adtran, Inc. (ADTN) reported a 47 percent surge in its profit for the second quarter compared to the same period last year, buoyed by strong demand for high speed connectivity and Ethernet services. Both earnings per share and revenues for the quarter topped analysts' expectations.
Also on the corporate front, reports reveal that Nokia Siemens Networks B.V., a joint venture between Nokia Corp. (NOK) and Siemens AG (SI), is in talks to acquire the telecom-equipment unit of Motorola Inc (MOT). The deal, which is expected to be reached in the next few weeks, could reportedly fetch Motorola about $1.1 billion to $1.3 billion.
Stocks rallied on Tuesday as Alcoa (AA) and CSX Corp. (CSX) reported quarterly results that topped estimates, hinting at a strong earnings season. The major averages all closed firmly positive, rising for the sixth straight session.
The Dow jumped by 1447 points to 10,363, the Nasdaq advanced by 44 points to 2,242 and the S&P 500 gained 17 points to 1,095.
In overseas trading, stocks across the Asia-Pacific region closed mostly higher on Wednesday. Hong Kong's Hang Seng Index gained by 0.6 percent, while Japan's benchmark Nikkei 225 Index jumped by 2.7 percent.
Meanwhile, the major European markets are moderately lower. The U.K.'s FTSE 100 Index and the French CAC 40 Index are down by 0.8 percent and 0.6 percent, respectively, while the German DAX Index is down by 0.4 percent.
On the currency front, the dollar is flat against the euro, trading at $1.2721, while it has slipped to $1.5233 against the pound. The greenback is also down versus the yen, trading at 88.53 yen.
In commodities trading this morning, gold futures are down by $6.50 to $1,206.90 an ounce.
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June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.