5 Things to Know Before the Stock Market Opens on Wednesday

• FedEx beat Q4 earnings expectations but cut its 2026 adjusted EPS guidance to $16.90-$18.10, down from the previous $20.24 per share forecast
• Cerebras shares fell despite revenue of $193.4 million (beating estimates by $10 million), with investors concerned about projected negative operating margins of 28%-32% for the full year
• Oil prices dropped 3% to below $71 per barrel on optimism over a potential Iran war deal, while the 10-year Treasury yield fell to 4.46% from 4.50%

Market Summary: Pre-Market Wednesday Trading Update

Market Overview:

Stock futures pointed higher Wednesday morning following a two-day tech-driven selloff. S&P 500 futures gained 0.3%, Nasdaq futures rose 0.6%, and Dow futures added 0.1%. The S&P 500 and Nasdaq experienced significant losses Tuesday, while the Dow closed marginally lower.

Commodities and Treasuries:

• WTI crude oil fell 3% to below $71/barrel amid optimism over a potential Iran conflict resolution
• Gold futures declined ~2% to $4,060/ounce
• Bitcoin traded relatively flat at $62,700
• 10-year Treasury yield dropped to 4.46% from 4.50%

Corporate Developments:

*FedEx (FDX):* Stock slipped despite beating Q3 earnings expectations with adjusted EPS of $1.89 versus $1.88 consensus. The company lowered its 2026 adjusted EPS guidance to $16.90-$18.10, down from the previous $20.24 per share.

*Cerebras (CBRS):* Shares tumbled after its first post-IPO earnings report. Q1 revenue reached $193.4 million, beating estimates by $10 million, with a smaller-than-expected adjusted loss of $2.48 million. However, concerns arose over profitability, with the company projecting negative 28%-32% core operating margins for the full year.

*Micron Technology (MU):* Set to report earnings after the closing bell. Analysts expect revenue of $36.15 billion (up nearly 4x year-over-year) and adjusted EPS of $20.95 versus $1.91 last year, driven by AI-related demand and memory chip shortages.

Index Changes:

Alphabet replaces Verizon in the Dow Jones Industrial Average effective Monday, making the index more tech-focused.