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In the world of finance, Wednesday witnessed a slight upward trend in futures tied to the S&P 500 and the Nasdaq. This came as most megacap stocks showed gains, with all eyes fixed on a crucial inflation reading that holds the key to the Federal Reserve's interest rate decisions. A November reading of the consumer price index (CPI), set to be released at 8:30 a.m. ET, is among the final major datasets ahead of the Fed's Dec. 17-18 meeting.

Expected Inflation Figures and Their Implications

The report is anticipated to indicate that headline inflation rose by 0.3% on a monthly basis and reached 2.7% on an annual basis in the last month, still surpassing the Fed's 2% target. The core figure, which excludes volatile components like food and energy, is expected to remain steady at 3.3% year-on-year. Since October, the inflation rate has been gradually increasing. As Jochen Stanzl, the chief market analyst at CMC Markets (LON:CMCX), noted in a note, "an end to this short-term upward trend would be necessary to confirm the expectation of three interest rate cuts in the next six months." The Fed aims to see further progress and does not view the fight against inflation as over. As long as the labor market does not cool down more rapidly, it has the time to keep a close eye on the situation.Trader bets, as per CME's FedWatch Tool, currently suggest an over 86% chance of the central bank implementing a 25 basis point cut next week. These bets saw a significant jump following Friday's employment report, which showed an increase in unemployment along with a surge in job growth.

Market Index Movements in Early Trading

At 7:04 a.m. ET, Dow E-minis experienced a decline of 38 points, or 0.09%. In contrast, S&P 500 E-minis rose by 5.75 points, or 0.1%, and Nasdaq 100 E-minis went up by 34.5 points, or 0.16%. Despite the previous session's decline, weighed down by heavyweight technology stocks, the S&P 500 and the Nasdaq were close to record levels. December has started on a generally positive note for U.S. equities, with the S&P 500 and the Nasdaq recording gains in their first week after a strong end to November.

Pre-Market Trading of Megacap and Growth Stocks

Most megacap and growth stocks moved higher in premarket trading. Alphabet (NASDAQ:GOOGL), Nvidia (NASDAQ:NVDA), and Tesla (NASDAQ:TSLA) each saw gains of more than 1%. Among other notable movers, GameStop (NYSE:GME) rose by 3% after the videogame retailer reported a profit in the third quarter due to cost-saving efforts. General Motors (NYSE:GM) also saw an increase of 1.5% after the automaker announced on Tuesday that it would end robotaxi development at its majority-owned, money-losing Cruise business.

Performance of Some Companies and Their Impact

GE Vernova slipped by 1.7% as the company's chief executive officer expressed caution about the outlook for its wind sector, even though it had resumed installing turbines at two offshore wind farms. Macy's (NYSE:M) took a significant hit, slumping 9.3% after the department-store bellwether cut its annual profit forecast. These examples highlight the diverse movements within the market and the factors influencing individual companies.