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Exchange-Traded Funds, Equity Futures Higher Pre-Bell Wednesday Amid Economic Reports

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The broad market exchange-traded fund SPDR S&P 500 ETF Trust (SPY) was up 0.1%, and the actively traded Invesco QQQ Trust (QQQ) advanced 0.4% in Wednesday's premarket activity, amid economic data releases.

US stock futures were also higher, with S&P 500 Index futures up 0.1%, Dow Jones Industrial Average futures slipping 0.02%, and Nasdaq futures gaining 0.4% before the start of regular trading.

Mortgage applications fell by 2.7% in the week ended July 10 as higher 30-year mortgage rates depressed new home applications, while refinancing activity improved, according to Mortgage Bankers Association data released Wednesday.

The New York Federal Reserve's Empire State manufacturing index rose to 15.6 in July from 5.7 in June, compared with a smaller expected increase to a reading of 9.2 in a survey compiled by Bloomberg.

US producer prices fell 0.3% in June, compared with expectations for no change, while core producer prices rose 0.2%, below forecasts for a 0.3% increase.

Fed Chair Kevin Warsh begins his second day of testimony at 10:00 am ET.

Weekly crude oil stocks data are set for release at 10:30 am ET, followed by an appearance by

New York Fed President John Williams and Fed Governor Lisa Cook are slated to speak on Wednesday.

The Fed's Beige Book report will be released at 2:00 pm ET.

In premarket action, bitcoin was up by 0.1%. Among cryptocurrency ETFs, the cryptocurrency fund ProShares Bitcoin Strategy ETF (BITO) was 0.1% higher, Ether ETF (EETH) advanced 0.1%, and Bitcoin & Ether Market Cap Weight ETF (BETH) retreated 0.01%.

Power Play:

Industrial

The State Street Industrial Select Sector SPDR ETF (XLI) advanced 0.6%, the Vanguard Industrials Index Fund (VIS) rose 1%, while the iShares US Industrials ETF (IYJ) was inactive.

Pentair (PNR) stock fell more than 21% before the opening bell after the water treatment company reported preliminary Q2 results below market estimates and lowered its full-year outlook amid headwinds related to its pool segment.

Winners and Losers:

Financial

The State Street Financial Select Sector SPDR ETF (XLF) advanced 0.4%. Direxion Daily Financial Bull 3X Shares (FAS) was up 1%, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), was 1.1% lower.

BlackRock (BLK) shares traded up more than 4% in early hours activity after Bloomberg reported the company is in discussions over providing about $45 million in private credit to Indian e-commerce platform Udaan as part of a proposed $160 million funding package.

Technology

The State Street Technology Select Sector SPDR ETF (XLK) advanced 0.6%, and the iShares US Technology ETF (IYW) was 0.2% higher, while the iShares Expanded Tech Sector ETF (IGM) was up 1.5%. Among semiconductor ETFs, the State Street SPDR S&P Semiconductor ETF (XSD) gained 1.1%, while the iShares Semiconductor ETF (SOXX) rose by 1.4%.

ASML (ASML) shares were up more than 3% in premarket activity after the company reported year-over-year growth in Q2 earnings and sales and raised revenue guidance for the full-year 2026.

Consumer

The State Street Consumer Staples Select Sector SPDR ETF (XLP) retreated 0.01%, the Vanguard Consumer Staples Index Fund ETF Shares (VDC) was flat, and the iShares US Consumer Staples ETF (IYK) was up 1.2%. The State Street Consumer Discretionary Select Sector SPDR ETF (XLY) advanced 0.1%. The VanEck Retail ETF (RTH) was inactive, while the State Street SPDR S&P Retail ETF (XRT) was flat.

Lucid (LCID) shares were down more than 2% pre-bell after dropping more than 16% in Tuesday's regular session following rumors of a potential bankruptcy filing that the company quashed.

Health Care

The State Street Health Care Select Sector SPDR ETF (XLV) declined 0.6%, the Vanguard Health Care Index Fund (VHT) was down 0.3%, while the iShares US Healthcare ETF (IYH) slipped 0.3%. The iShares Biotechnology ETF (IBB) was up 0.2%.

Merck (MRK) stock was up more than 1% premarket after the company said a phase 3 trial of its therapy, Keytruda, met the primary endpoint of progression-free survival in patients with mismatch repair-deficient advanced or recurrent endometrial cancer.

Energy

The iShares US Energy ETF (IYE) was down 2.5%, while the State Street Energy Select Sector SPDR ETF (XLE) retreated by 0.1%.

Oceaneering International (OII) stock was up nearly 1% before market open after the company and Kongsberg were selected by the US Department of War's Defense Innovation Unit to support the US Navy's vision for scalable uncrewed undersea platforms.

Commodities

Front-month US West Texas Intermediate crude oil advanced by 0.6% to $79.82 per barrel on the New York Mercantile Exchange. Natural gas was down by 0.2% to $2.90 per 1 million British Thermal Units. The United States Oil Fund (USO) was up 0.1%, while the United States Natural Gas Fund (UNG) was 0.9% lower.

Gold futures for July gained 0.8% to $4,035.90 an ounce on the Comex. Silver futures retreated by 1.4% to $58.28 an ounce. SPDR Gold Shares (GLD) decreased 0.4%, and the iShares Silver Trust (SLV) was 1.2% lower.

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US Crude Oil Inventories Fall, API Says

Data from the American Petroleum Institute revealed Tuesday that US crude oil inventories dropped by 564,000 barrels in the week ended July 14, according to API data compiled by MacroEdge on X.This decline follows a 399,000-barrel draw the previous week, and compares with analysts' estimate of a 2.7-million-barrel decrease according to a Bloomberg-compiled survey.The oil market now awaits the US Energy Information Administration's petroleum inventory report, scheduled for release on Wednesday.

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New York Imposes Moratorium on New Hyperscale Data Centers

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Commodities

US Natural Gas Update: Prices Edge Up on Near Term Heat, but Bearish Fundamentals Persist

US natural gas futures edged slightly higher in after-hours trading on Tuesday, as above-normal temperatures across the densely populated Northeast were expected to persist over the next few days before easing toward or below seasonal norms for the remainder of the month.The front-month Henry Hub contract and the continuous contract both rose 0.9% to $2.923 per million British thermal units.Near-term weather forecasts supported prices, with Pinebrook Energy Advisors saying Wednesday is expected to be the hottest day of the summer so far on a population-weighted basis and PJM Interconnection is forecast to reach peak electricity demand of 164 gigawatts, near a record high.However, longer-term demand expectations weakened. Criterion cut cumulative gas demand by 7 billion cubic feet per day across its forecast period, citing softer consumption.The firm expects temperatures across the Lower 48 states to briefly surpass the 10-year average on Wednesday before returning to near-normal levels for the rest of the forecast, limiting weather-driven demand, according to Aegis Hedging.Separately, Barchart, citing Commodity Weather Group, said forecasts had shifted toward cooler conditions, with below-average temperatures expected in the US Southwest through July 23.Pinebrook Energy Advisors said gas demand from the power sector underperformed during a similar heat wave in June as strong wind generation in the Midwest and Texas displaced gas-fired electricity production.While recent summers have seen gas burn exceed 50 Bcf/d during peak heat events, that threshold has not yet been reached this season. Another shortfall in demand during this week's extreme heat could prompt the market to further reassess seasonal natural gas demand fundamentals.Celsius Energy said natural gas accounted for 43% of fuel used to generate electricity on Monday, with power burn estimated at 45.1 Bcf, up 2.6 Bcf from the previous day but down 0.9 Bcf from a year earlier.Average power burn over the past seven days was 43.5 Bcf/d, down 3.7 Bcf/d from the same period last year.Lower 48 gas demand on Tuesday totaled 80.9 Bcf/d, up 1.9% from a year earlier, Barchart reported, citing BNEF data.On the supply side, production stood at 109.4 Bcf/d, while Canadian imports of 6.6 Bcf/d kept total supply at 116.1 Bcf/d, according to Gelber & Associates."That leaves Henry Hub caught between a short burst of summer demand and a supply base that remains capable of covering it, with the market likely needing either sustained heat or a meaningful LNG recovery before the current downward pressure begins to ease," Gelber & Associates said.LNG feedgas demand remained subdued at 18.2 Bcf/d as maintenance work at the Sabine Pass and Freeport export facilities continued to constrain deliveries, according to Criterion.