Volatility in Stock Markets Amid Alphabet's Legal Battle and Fed's Next Moves

Stock index futures stayed relatively stable as investors awaited the Federal Reserve's minutes for future policy insights. Alphabet's shares dropped due to potential DOJ action. Investors remain focused on inflation data and earnings reports, while tracking the impact of global issues like Hurricane Milton and the Middle East conflict.

In a pivotal moment for the stock markets, index futures showed little change as anticipation builds around the Federal Reserve's upcoming minutes. The minutes, expected to offer clues on the policy path, come as Alphabet's shares tumbled following news that the DOJ might force Google to divest key elements of its business.

The Dow E-minis fell by 23 points, S&P 500 E-minis dropped 2.25 points, and Nasdaq 100 E-minis descended 13.25 points, reflecting the ongoing volatility. The tech sector, however, showed resilience on Tuesday after a rebound from Monday's market dip, spurred by easing Treasury yields.

This week's trading has been abuzz with speculation, with investors adjusting rate cut expectations and searching for new market catalysts. Upcoming inflation data and third-quarter corporate earnings are drawing significant attention. The market is eyeing the Fed's November meeting, with the majority predicting a 25-basis-point rate cut.

(With inputs from agencies.)