Dow futures rise with Powell speech and Trump-led sweep in focus

U.S. stock futures rose slightly on Thursday as investors awaited a speech from Jerome Powell to set the tone for interest rate cuts and assess the impact of a Republican political takeover.

Dow Jones Industrial Average futures (YM=F) rose 0.2%, while S&P 500 futures (ES=F) rose 0.1%. Contracts on the Nasdaq 100 (NQ=F) were little changed, after a mixed day for all three major indicators.

Although the mood is subdued, stocks continue to rise near records after the latest consumer inflation data kept hopes high for a rate cut in December. Readings on wholesale inflation and jobless claims due later could test that optimism, as will Powell when he speaks in Texas.

The focus is on how the Federal Reserve chair sees inflation moving forward, as investors gauge the likelihood of rates staying high again for longer. The market is already weighing potential upward pressure on prices from President-elect Donald Trump’s policies.

Read more: What the Federal Reserve’s rate cut means for bank accounts, CDs, loans and credit cards

Republicans maintained their slim majority in the House of Representatives, handing Trump and his party a “trifecta”: unified control of power throughout Washington. The move limits implementation of the incoming president’s aggressive economic agenda, which has helped spur a dizzying rally in post-election stocks.

Concerns about Trump’s plans to prioritize the United States contributed to Chinese stocks falling as much as 20% from their October high in Hong Kong, with technology hardest hit.

In the corporate sector, Disney’s (DIS) quarterly earnings beat estimates as its streaming unit turned a profit. The stock rose in premarket trading after revenue also beat Wall Street expectations.