US stock futures slightly higher on hopes of a smaller Fed rate cut

US stock futures slightly higher on hopes of a smaller Fed rate cut

were mixed on Monday morning as expectations of aggressive policy easing from the Federal Reserve dampen.

At around 2:30 a.m. ET, futures were 27 points higher and pointed to an implied positive open of around 14 points. Futures on the and were also marginally higher.

Market focus is heavily attuned to the U.S. central bank as hopes of a 50 basis point cut to interest rates at its Federal Open Market Committee (FOMC) meeting wane. A Wall Street Journal report on Friday suggested a more cautious 25 basis point cut is likely following comments from several senior Fed officials..

Friday saw the S&P 500 and Nasdaq fall 1% each to close at their biggest weekly losses since late May, while the Dow lost 0.6%, after the indexes had notched all-time highs earlier in the week.

China's new began trading on Monday amid a flurry of buying from investors. The Science and Technology Innovation Board, or STAR Market, saw shares of the 25 companies listed soaring from the outset.

Earnings season stateside remains in focus, with Halliburton, Royal Philips and RPM International reporting before the bell on Monday. Whirlpool and TD Ameritrade are among those reporting after the bell.

Investors will also have one eye on geopolitical developments, as Britain weighs its options after the Iranian military seized a British oil tanker. Outgoing Prime Minister Theresa May will chair an emergency response committee meeting on Monday to discuss the crisis.

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