U.S. Stock Futures Tick Higher as Market Rides Wave of Key Earnings

U.S. stock futures extended gains on Wednesday, as investors geared up for a busy week of major corporate earnings.

The contract rose 19 points, or 0.1%, by 03:17 ET, the futures contract gained 14 points, or 0.3%, and the futures contract increased 125 points, or 0.7%.

The moves came as major technology companies prepared to report their results, including Facebook-owner Meta Platforms, Inc., and Google-parent Alphabet Inc., which will report on Thursday.

Microsoft Corporation is also slated to release its results on the same day.

Separately, budget carrier JetBlue Airways Corporation plunged 18% in the prior session after it cut its revenue forecast for the second time this year.

Tesla Shares Spike on Accelerated Launch of 'More Affordable' Models

Electric vehicle giant Tesla Inc. announced that it would accelerate the launch of new models with a "focus on more affordable versions," sending shares higher despite disappointing market analysts with its quarterly results on Wednesday.

The stock declined earlier this month after reports that the company had abandoned plans for a low-cost vehicle known as the Model 2.

Chief Executive Elon Musk denied the story, and the company said it would move forward with the launch of new, cheaper models ahead of its previously announced production start in the second half of 2025.

Senate Votes to Ban TikTok if Parent Company Doesn't Divest

Lawmakers in the U.S. Senate voted in favor of a bill that would ban TikTok in the United States if its Chinese owner, ByteDance, does not divest the app within the next nine months to a year.

The legislation has now passed the House of Representatives and is set to be signed into law by President Joe Biden.

With over 170 million users in the U.S., TikTok has become one of the most influential social media platforms, but its Chinese ownership has raised concerns over user data in Washington, exacerbating tensions with Beijing.

TikTok has repeatedly denied that it will share U.S. user data with the Chinese government.

SenseTime Launches Updated AI Model

SenseTime released an updated version of its in-house generative artificial intelligence (AI) model, SenseNova 5.0, at its Tech Day event in Shanghai.

The company said the latest offering features better linguistic, creative, and reasoning capabilities, along with improved text-to-image generation and enhanced text-to-video generation.

Oil Edges Higher as Focus Shifts to U.S. Economy, Interest Rates

Oil prices rose in European trade on Wednesday, as traders shifted their focus from easing tensions in the Middle East to upcoming economic data from the U.S. and cues on interest rates.

The EIA reported a weekly draw of 3.2 million barrels in U.S. oil inventories, signaling a tighter market as the summer travel season approaches.

June and WTI rose by 0.2% and 0.1%, respectively, by 03:17 ET.

GDP data due on Thursday is expected to highlight the strength of the economy and provide further insight into the Federal Reserve's interest rate policy.