1:05pm: Tesla looms
Tesla Inc’s (NASDAQ:TSLA) artificial intelligence ambitions and the early-stage rollout of its robotaxi service will be the central focus when the electric vehicle maker reports its first-quarter 2026 results on Wednesday, according to Wedbush Securities, which maintains an ‘outperform’ rating and a $600 price target on the stock.
Wedbush analyst Dan Ives said the call is expected to provide greater clarity on Tesla’s plan to spend approximately $20 billion on AI capital expenditure this year across its Cybercab autonomous vehicle, semi-truck production, and a new mega factory.
On the financial results themselves, Wedbush said consensus expectations of around $22.4 billion in revenue and $0.37 in earnings per share reflect the difficult demand environment in Europe and the United States during the quarter, with tariff costs in the final quarter of 2025 exceeding $500 million.
11:55am: Boeing beats estimates
Boeing Co (NYSE:BA, XETRA:BCO) reported stronger-than-expected first quarter results on Wednesday, with revenue and earnings surpassing analyst forecasts, supported by higher commercial aircraft deliveries and improving operational performance.
The earnings “added to the impression that, were it not for the war, markets would be basking in a very solid Q1 reporting season,” said Chris Beauchamp, IG’s chief market analyst.
“A smaller loss and an increased backlog puts the firm in a good place for the rest of 2026, and now the focus shifts to Tesla to see if the company can put its recent travails behind it.”
10:50am: Warsh faces confirmation hurdles
Jeffrey Roach of LPL Financial said Kevin Warsh’s confirmation hearing highlighted how issues around Federal Reserve independence, inflation credibility, and political influence are increasingly intertwined.
While Warsh aimed to present himself as independent and focused on reforming monetary policy, ongoing legal questions and partisan divisions could slow his confirmation process, according to the analyst.
“The outcome may not only determine Warsh’s future but also shape how markets and the public perceive the Fed’s ability to operate independently in an increasingly politicized environment,” Roach wrote.
“As it relates to interest rate expectations, the hearing strengthens the view that Warsh may tighten conditions via balance sheet normalization while simultaneously loosening conditions by lowering interest rates. These actions may not occur until much later this year as conditions warrant.”
9.55am: Strategy, Coinbase, GE Vernova and chip names lead Nasdaq up
Wall Street shares have started higher, led by the tech-powered Nasdaq, up 0.8%, followed by the Dow Jones at 0.7% and the S&P 500 rising 0.6%.
Tech stocks leading the early gains include bitcoin investor Strategy Inc (NASDAQ:MSTR), which is topping the Nasdaq 100 risers, up over 7% as bitcoin climbs to its highest level since early February. Coinbase is up 7% too.
Bitcoin is up 3.8% to $8,830.
Chip and storage names are also rising strongly, including ARM Holdings, up 4%, Seagate, Western Digital, Micron and AMD.
Top of the SA&P leaderboard is GE Vernova, up 13.58% following its earnings earlier.
8am: Nasdaq set to lead Wall Street higher at open
US stocks have been called higher ahead of the open on Wednesday, after Washington extended the ceasefire with Iran, but tensions remained high in the Gulf.
Futures for the Dow Jones and S&P 500 were up 0.5%, while Nasdaq 100 futures were set to lead, climbing 0.7%.
Wall Street saw a weaker session yesterday, with the three main indices all closing down around 0.6%, with the Dow ending at 49,149, the S&P at 7,064 and the Nasdaq Composite at 24,259.
President Donald Trump said after the closing bell that the US had been asked by mediators in Pakistan to extend until Iran can come up with a “unified proposal” and “discussions are concluded, one way or the other”.
The President said this extension was because “the government of Iran is seriously fractured”.
He added in other posts that the US would continue its blockade of Iran, while Iran said it would keep the Strait of Hormuz locked up, too.
Oil prices remained elevated, with WTI crude at $90.5 a barrel after swinging between $88 and $92 over the past 24 hours.
In the past few hours, Iran’s Revolutionary Guard seized two vessels in the Strait, according to state-linked media, after accusing them of operating without authorisation and manipulating navigation systems. A third vessel was also reportedly attacked nearby.
Asian and European markets were mixed. Japan’s Nikkei and China’s Shanghai Composite rose around 0.4% to 0.5%, while London’s FTSE 100 was little changed and major indices in Germany, France and Spain slipped between 0.2% and 0.4%.
Tesla is the main earnings headline today, coming after the close, when there will also be a big focus on chips and semiconductors, with Lam Research, IBM and Texas Instruments also reporting after the bell.
Before the opening bell, there are earnings from GE Vernova, Philip Morris International, AT&T, Boeing, Vertiv, CME, Boston Scientific and Moody’s.
Market analyst Josh Mahony at Scope Markets said Trump’s “latest TACO move” has resulted in “a feeling that the chance of additional conflict could be easing”.
While the ceasefire has been extended, the real-world consequences of the Gulf war are being seen in more ways, said market analyst Joshua Mahony at Scope Markets.
UK inflation jumped to 3.3% and European airlines such as Lufthansa, SAS, KLM, and Iberia cancelled flights owing to the growing jet fuel shortages.
“Yesterday’s ceasefire extension brought a somewhat mixed response from markets, with Trump’s decision to extend in the absence of any tangible talks serving to highlight just how weak his position currently is.
“Despite warning that he won’t extend, this time around he cant even say that he has seen any progress that provides the basis for this concession.
“While the US could continue to strike Iranian positions, they are seemingly incapable of securing much more when it comes to the objectives of destroying the nuclear and ballistic capabilities of Iran.”
Mahony said Trump’s threats “appear empty” and in the absence of any negotiations, “it is down to Trump to concede further or escalate”. Fo