US pre-open: Futures lower ahead of Warsh speech
By Iain Gilbert
Date: Wednesday 01 Jul 2026
(Sharecast News) - Wall Street futures were in the red ahead of the open on Wednesday after major indices wrapped up a strong first‑half performance a day earlier.
As of 1250 BST, Dow Jones futures were down 0.20%, while S&P 500 and Nasdaq-100 futures had the indices opening 0.15% and 0.36% softer, respectively.
The Dow closed 136.46 points higher on Tuesday, giving the blue chip index an 8.9% gain over the period, its strongest first‑half showing since 2021, while the S&P 500 rose 9.6% and the Nasdaq advanced 12.8% over the first six months of the year.
Wednesday's primary focus will likely be comments from Federal Reserve chair Kevin Warsh, who will speak at the European Central Bank's Forum on Central Banking in Sintra. Since taking office, Warsh has launched a series of task forces aimed at reassessing the Fed's strategy and defining modern monetary policy. Traders have also been watching for signs that the central bank may move to raise interest rates as it continues its fight against inflation.
Trade Nation's David Morrison said: "Investors are considering a future environment with higher borrowing costs. Two weeks ago, at the Fed's first FOMC meeting with Kevin Warsh as Chair, it became apparent that the US central bank had become more hawkish than under its previous chair, Jerome Powell. Mr Warsh emphasised that the Fed was focused on getting inflation back down below its 2% target, even as core PCE just came in at 3.4% for May. That would suggest that the Fed is less concerned about the other half of its dual mandate, ensuring maximum employment.
"Yesterday's JOLTS Job Openings was encouraging, while there are updates on ADP private payrolls today, and the official non-farm payrolls tomorrow. In addition, Kevin Warsh will be speaking at the European Central Bank Forum in Portugal today. It will be interesting if Mr Warsh is as tight-lipped about monetary policy as he promised to be a fortnight ago. Meanwhile, the US and Iran are in Doha for peace talks, although the two sides have yet to meet."
On the macro front, US employers announced 45,849 job cuts in June, the lowest monthly total since December 2025 and down 53% from May, according to Challenger, Gray & Christmas. Cuts were also 4% lower than a year earlier. The tech sector led reductions with 15,503 planned layoffs, Year‑to‑date, US employers have announced 443,604 job cuts, down 40% from the 744,308 recorded in the first half of 2025, with tech accounting for 139,156 of this year's total. Hiring plans also. Conversely, employers announced 10,933 new roles in June, taking the year‑to‑date total to 914,405, roughly 10% higher than in the same period in 2025.
On another note, US mortgage applications were unchanged in the week ended 26 June, according to the Mortgage Bankers Association of America. Last week's flat reading comes as mortgage applications were also little changed during the period, with the benchmark fixed 30-year contract easing two basis points to 6.57%. Applications to refinance a mortgage, which are more sensitive to short-term changes in interest rates, eased by 0.6% week-on-week, while applications to purchase a home were up 0.5%.
Still to come, ADP employment figures for June will be published at 1315 BST, while S&P Global's June manufacturing PMI will be released at 1445 GMT, and May construction spending data and the ISM's June manufacturing PMI will follow at 1500 BST.
In the corporate space, General Mills posted 1% growth in fourth‑quarter sales to $4.6bn and said its fiscal 2027 outlook includes improved organic growth and greater efficiency as it targets $3bn in cost savings by fiscal 2030. The board also declared its quarterly dividend at the prevailing rate.
Reporting by Iain Gilbert at Sharecast.com
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