Nasdaq futures indicated a modest increase on Monday, setting the stage for a week marked by the Federal Reserve’s impending decision regarding interest rate adjustments, as key stock indexes neared historical highs. Futures linked to the tech-heavy Nasdaq and the benchmark S&P 500 experienced increases of 0.2% and 0.1%, respectively, whereas those connected to the blue-chip Dow Jones Industrial Average saw a modest rise. The three major equities indexes have experienced consecutive weekly gains, with the S&P 500, Dow, and Nasdaq approaching Monday at respective distances of 0.3%, 0.6%, and 1.6% from their record closing highs. On Friday, a subdued inflation report bolstered anticipations that the Fed would lower interest rates this week, and market participants anticipate a reduction in the policy rate by 25 basis points on Wednesday, as evidenced by the sources, which suggests an 87% probability that the central bank will adjust its key rate to a range of 3.5% to 3.75%.

The 10-year Treasury yield, a key determinant of interest rates across various commercial and consumer loans, stood at approximately 4.16%, an increase from 4.14% at the close on Friday. Gold futures exhibited minimal movement, remaining around $4,240 per ounce, whereas West Texas Intermediate futures, the benchmark for U.S. crude oil, experienced a decline of 1%, settling at $59.45 per barrel. Bitcoin was trading at approximately $91,800, reflecting an increase from the overnight lows that exceeded $89,000, and the U.S. dollar index, which monitors the value of the greenback relative to a selection of foreign currencies, remained relatively stable at 98.98. In corporate news, shares of Netflix and Paramount Skydance experienced modest gains, while Warner Bros. Discovery saw a decline of less than 1%.

This movement followed President Donald Trump’s remarks on Sunday, suggesting that Netflix’s $83 billion acquisition of WBD, in which it outbid Paramount for the renowned movie studio and HBO Max streaming service operator, “could be a problem.” On Friday, Netflix experienced a decline of nearly 3%, while shares of Paramount Skydance saw a significant drop of close to 10%. In contrast, WBD saw an increase of 6% in response to the news of the deal. Confluent shares skyrocketed more than 25% following a report in that IBM was in advanced talks to buy the data-infrastructure firm for roughly $11 billion, indicating renewed momentum in the tech acquisition landscape.

Additionally, shares of Carvana, CRH, and Comfort Systems USA experienced increases of 8%, 7%, and 1.5%, respectively, following the announcement late Friday that these stocks would be included in the S&P 500 on December 22 as part of the benchmark index’s quarterly rebalancing. This reshuffling contributed to heightened investor activity and optimism surrounding the incoming constituents. As markets await the Fed’s decision, the combination of corporate developments, stabilizing macro indicators, and elevated expectations for monetary easing continues to frame the trading environment, setting the tone for the days ahead as equities hover near record levels.