Oct 15 (Reuters) - U.S. stock index futures rose on Wednesday as chipmakers rallied after ASML's quarterly results, while investors parsed fresh big bank earnings following strong reports from lenders that helped lift markets in the prior session.
Shares of Bank of America (BAC.N), added 3.8% premarket after the second-largest U.S. bank reported a rise in third-quarter profit on mega deals advising.
Morgan Stanley (MS.N), opens new tab was up 2.4% ahead of its third-quarter report that would conclude results from major lenders.
A day earlier, lenders including Goldman Sachs (GS.N), and JPMorgan Chase (JPM.N), reported solid performance in investment banking and predicted that the business would continue to boom.
Analysts expect third-quarter earnings growth to be 9.2% year-on-year, slightly higher than the previously forecast 8.8%, according to LSEG I/B/E/S data from Tuesday.
Shares of U.S. chipmakers rose premarket after ASML (ASML.AS), reported third-quarter orders and operating income above market expectations. U.S.-listed shares of ASML were up 4.4%.
Micron Technology (MU.O), rose 2.8%, Advanced Micro Devices (AMD.O), gained 3.2%, while Intel (INTC.O), and Nvidia (NDA.O), added 2% and 2.5% respectively.
Also aiding sentiment, Federal Reserve Chair Jerome Powell left the door open to rate cuts on Tuesday by saying the U.S. labor market remained mired in low-hiring, low-firing doldrums.
He said the absence of official economic data due to the government shutdown has not prevented policymakers from being able to assess the economic outlook, at least for now.
Traders work on the floor of the American Stock Exchange (AMEX) at the NYSE in New York
Futures-options traders work on the floor at the American Stock Exchange (AMEX) at the New York Stock Exchange (NYSE) in New York City, U.S., October 2, 2025. REUTERS/Brendan McDermid Purchase Licensing Rights, opens new tab
"Powell highlighted the rising downside risks to the U.S. labor market, which essentially prompted the September rate cut ... investors remain confident that the October 29 rate cut is a rather safe bet at this stage," Achilleas Georgolopoulos, senior market analyst at XM, said in a note.
Markets are currently expecting a quarter-point cut at the October 28-29 Fed gathering and another one at the central bank's next meeting in December, followed by three more cuts next year, according to LSEG data.
At 06:55 a.m. ET, Dow E-minis were up 199 points, or 0.43%, S&P 500 E-minis were up 43.5 points, or 0.65%, and Nasdaq 100 E-minis were up 212.25 points, or 0.86%.
A slate of Fed officials including governors Stephen Miran and Christopher Waller, Atlanta President Raphael Bostic and Kansas City boss Jeffrey Schmid are set to speak later in the day.
Fed's Beige Book of economic condition, due at 2:00 p.m. ET, is also on radar.
Meanwhile, President Donald Trump on Tuesday said Washington was considering cutting some trade ties with China, including in relation to cooking oil. That came after the two countries began imposing tit-for-tat port fees, adding to concerns about the China-U.S. trade war.
The International Monetary Fund marginally lifted its 2025 global growth forecast on Tuesday but warned that a renewed U.S.-China trade war could slow output significantly.
Among other stocks, Dollar Tree (DLTR.O), opens new tab added 2.8% after the company forecast fiscal 2026 profit above Wall Street estimates.
U.S.-listed shares of gold miners gained as bullion prices surged past $4,200 an ounce for the first time.
Newmont (NEM.N), AngloGold Ashanti (AU.N), and Harmony Gold gained between 1.2% and 4%.
Reporting by Sukriti Gupta and Twesha Dikshit in Bengaluru; Editing by Maju Samuel
