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US stock-futures rise as investors await start of Fed policy meeting, Instacart

(For Reuters live blogs on US, UK and European stock markets, click or type LIVE/ in the news window.)


Block Inc. removes CEO of Square unit


CVS gains on Evercore ISI upgrade


Intel gains lead ahead of annual developers event


Futures up: Dow 0.08%, S&P 0.13%, Nasdaq 0.15%

(Updated at 7:23 am ET/1123 GMT)

By Ankika Biswas and Srishti Achar A

Sept 19 (Reuters) – U.S. stock index futures rose on Tuesday ahead of the Federal Reserve’s monetary policy meeting and as investors awaited the Nasdaq debut of grocery delivery app Instacart to assess a potential recovery in the IPO market.

Instacart parent company MapleBear Inc. achieved a fully diluted valuation of $9.9 billion after pricing its IPO at $30 per share, at the top of its indicated price range.

Arm Holdings had a stellar market debut last week, raising hopes of a comeback in the initial public offering (IPO) market.

Investors are also focused on a two-day Fed meeting that begins later in the day, with the central bank expected to keep the benchmark interest rate on Wednesday at the current 5.25%-5.50% range.

Recent economic data has suggested core inflation is moving toward the Fed’s 2% target, although crude oil prices have risen for three consecutive weeks to a 10-month high, which remains a concern.

“The market narrative has again shifted away from optimism to fears of a resurgence of inflation due to strong consumer data and improving oil prices,” said Matthew Morgan, head of fixed income at Jupiter Asset Management.

“Central banks should stay here and wait and see the effect of what they have already done rather than causing serious damage to the economy.”

Economic data also largely indicated the US economy remains resilient, raising hopes for a softening situation and helping allay concerns of a possible recession.

Investors will closely monitor the Fed’s quarterly report on economic projections to assess the participating members’ long-term policy outlook.

Traders have fully priced in the Fed’s decision to hold off on Wednesday, with a 71% chance of interest rates remaining unchanged in November, according to CME’s FedWatch tool.

While most of the key data on inflation has been released, investors will keep an eye on US housing data for August, due at 8:30 a.m. ET.

At 7:23 a.m. ET, Dow E-minis were up 28 points or 0.08%, S&P 500 E-minis were up 5.75 points or 0.13%, and Nasdaq 100 E-minis were up 22.5 points or 0.15%.

Block Inc fell 0.8% in premarket trading as fintech firm Unite Square CEO Alyssa Henry will exit the company where she has worked for more than nine years.

CVS Health Corp gained 0.9% after Evercore ISI upgraded the U.S. pharmacy chain to “outperform” from “in line.”

Intel shares rose 1.3% ahead of the chipmaker’s two-day developers event starting on Tuesday. (Reporting by Ankika Biswas, Shubham Batra and Srishti Achar A in Bengaluru; Editing by Vinay Dwivedi)


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