U.S. stock futures edge higher after bruising tech losses; Fed, earnings on tap

U.S. stock index futures experienced a slight increase on Sunday evening, following substantial declines driven by technology losses over the previous week. The S&P 500 Futures climbed 0.13% to 7,669.0 points, the Nasdaq 100 Futures increased 0.1% to 29,151.50 points, and the Dow Jones Futures rose 0.12% to 52,455.0 points. This steadiness followed two consecutive weeks of losses in the S&P 500 and NASDAQ Composite, primarily due to a significant drop in tech and artificial intelligence valuations.

Investors are now focusing on the Federal Reserve's upcoming meeting and a series of major earnings reports. Verizon Communications Inc (NYSE:VZ) and Welltower Inc (NYSE:WELL) will release their third-quarter earnings on Monday. Visa Inc (NYSE:V), Boeing Co (NYSE:BA), and Coca-Cola Co (NYSE:KO) will report on Tuesday, while Alphabet Inc (NASDAQ:GOOGL) and Microsoft Corporation (NASDAQ:MSFT) are set to announce their results on Wednesday. Amazon.com Inc (NASDAQ:AMZN) will share its earnings on Thursday.

The tech sector's earnings are anticipated to shed light on the AI trade, with investors closely monitoring the impact of billions invested in AI initiatives. At the same time, concerns over further margin dilution resulting from AI investments weigh heavily on the market. The Federal Reserve's two-day meeting, scheduled for Tuesday, is expected to have a significant influence on the market.

The central bank is widely anticipated to maintain interest rates at 4.0% following a 25 basis point increase in September. However, investors will be cautious of any hawkish cues from the Fed, particularly considering persistent U.S. inflation concerns. Fed Chair Kevin Warsh's press conference on Wednesday is expected to provide further insights into the future trajectory of interest rates.