U.S. stock futures traded in a mixed fashion on Wednesday as investors awaited the conclusion of the latest Federal Reserve meeting, looking for guidance about future monetary policy.

At 10:27 AM ET, the Dow Jones Industrial Average gained 249 points, or 0.5%, and the S&P 500 index fell 5 points, or 0.1%, and the NASDAQ Composite slipped 96 points, or 0.4%.

Fed policy outlook in focus

The U.S. central bank concludes its two-day policy meeting later Wednesday, and is widely expected to authorise a 25-basis-point cut, which would bring the benchmark federal funds rate to a range of 4.00%-4.25%. 

Signs of cooling in the labor market, including slower job creation and a higher unemployment rate have reinforced expectations that the Fed will move to support growth.

Traders see only a slim chance of a larger half-point move. Fed funds futures suggest policymakers could lower borrowing costs by a total of 65 to 70 basis points by year-end.

Attention is squarely on the Fed’s updated economic projections and its so-called dot plot, which will provide clues on the path of interest rates into 2026. 

Investors will also scrutinize remarks from Chair Jerome Powell for guidance on whether the central bank intends to stick with gradual easing or act more aggressively if the labor market softens further.

“Inflation remains above target and tariffs are likely to keep it elevated in the near term, but the balance of risks are tilted towards the need for more support for the economy,” analysts at ING said in a note.

The FOMC rate decision is expected at 2 PM ET, followed by a press conference from Fed Chair Jerome Powell.

General Mills leads earnings parade

In corporate news, General Mills (NYSE:GIS) stock fell after the packaged foods company reiterated its annual sales and profit forecasts but notched a decline in demand in its key North America segment.

Quarterly volumes in North America at the Minneapolis-based group dropped by 16 percentage points compared to a year ago, with the company now anticipating that the overall category’s growth will fall below its long-term targets.

Concerns have swirled around whether American consumers are reining in expenditures during a time of broader tariff-fueled economic uncertainty. A gauge of consumer sentiment last week from the University of Michigan ticked lower, with sweeping U.S. levies cited as a key driver of households’ fears over the state of their pocketbooks.

Elsewhere, Apple’s (NASDAQ:AAPL) smartphone sales in China fell 6% in the weeks before the iPhone 17 launch, a sharper-than-usual slowdown ahead of a flagship release, according to Counterpoint Research.

Lyft (NASDAQ:LYFT) stock surged while rival Uber (NYSE:UBER)shares fell after Lyft announced a new partnership with Waymo to bring autonomous ride-hailing services to Nashville in 2026.

Workday (NASDAQ:WDAY) stock rose after activist investor Elliott Management unveiled a stake of more than $2 billion in the company and backed its leadership.

Baidu (NASDAQ:BIDU) shares surged, lifted by growing investor confidence in its home-grown AI chip efforts as China accelerates its drive toward semiconductor independence.

Crude, gold slip lower

Oil prices slipped lower Wednesday, handing back some of the previous session’s gains on heightened concerns over disruptions in Russian production. 

Brent futures dropped 0.3% to $68.29 a barrel, and U.S. West Texas Intermediate crude futures fell 0.3% to $64.35 a barrel.

The benchmarks settled more than 1% higher on Tuesday, climbing to two-week highs, due to concerns that Russian supplies may be disrupted following Ukraine’s drone attacks on critical export ports and refineries.

Oil was also encouraged by U.S. industry data showing an outsized 3.2 million barrel draw in inventories over the week to September 12. This data,  from the American Petroleum Institute, usually heralds a similar reading from official inventory data, which is due later on Wednesday. 

Gold prices edged down from record highs ahead of the release of the Fed’s rate decision and policy outlook.

Spot gold was last down 0.3% at $3,68.37 an ounce, after hitting an all-time peak of $3,702.95 on Tuesday. U.S. gold futures for December slipped 0.3% to $3,713.35/oz.