Market Jitters: Stocks Await Federal Reserve Insights Amid Trade Turmoil

U.S. stock index futures showed uncertainty as the Federal Reserve prepared for its meeting amid ongoing tariff tensions. Economists expect no change in interest rates, focusing on the potential economic effects of trade policies and tariffs. U.S. equities hit corrigible levels as gold peaked to new highs.

On Tuesday, U.S. stock index futures struggled to find direction as investors awaited the Federal Reserve's upcoming meeting, where the central bank's commentary on the impact of ongoing tariff disputes will be examined closely.

This two-day rate-setting meeting, starting later today and ending on Wednesday, is anticipated to uphold current interest rates as per LSEG data. The Fed's revised economic forecasts are expected to illuminate policymakers' viewpoints on the Trump administration's trade strategies.

Tariffs imposed by President Trump have sparked trade tensions with key U.S. partners, prompting swift retaliatory measures. Analysts noted the S&P 500 entering oversold territory and expect further focus on the Ukraine-Russia crisis ahead of Trump's talks with Putin.

(With inputs from agencies.)