U.S. stock futures climbed on Wednesday, signaling further upside for Wall Street after muted inflation data pushed the S&P 500 and Nasdaq Composite to fresh all-time closing highs. Tech earnings and major corporate moves are in focus, with Cisco Systems (NASDAQ: CSCO) set to report and Perplexity AI making a surprise multi-billion-dollar offer for Google’s Chrome browser.

1. Futures Extend Gains

Contracts linked to the S&P 500 rose 0.5%, Nasdaq 100 futures jumped 1.1%, and Dow futures edged up 0.1% in early trade.
The gains build on Tuesday’s rally, where all three major indices surged over 1% after data showed annual U.S. consumer price growth in July matched the previous month.

The softer inflation reading fueled expectations of a Federal Reserve interest rate cut in September, with markets betting policymakers will focus on supporting a cooling labor market rather than aggressively tackling still-elevated prices. Treasury yields slipped as traders priced in easier monetary policy ahead.

2. Cisco Earnings on Deck

After the closing bell, Cisco will report its latest quarterly results — the first since completing its $28 billion acquisition of cybersecurity firm Splunk (NASDAQ: SPLK).

Analysts expect a strong performance in Cisco’s firewall and cybersecurity business, alongside guidance for fiscal 2026. Piper Sandler’s James Fish highlighted “general strength” in the networking segment and noted that AI-driven demand from cloud providers could underpin growth. Investors will also be watching closely as new CFO Mark Patterson takes over following the retirement of Scott Herren.

3. Perplexity AI’s Bold $34.5B Chrome Bid

In a stunning move, AI startup Perplexity AI has offered $34.5 billion in cash to acquire Google’s Chrome browser from parent company Alphabet (NASDAQ: GOOGL).

The bid comes as Google battles U.S. antitrust challenges, with regulators exploring the breakup of its search and browser dominance. Chrome, with billions of global users, is a data-rich asset that Perplexity could use to supercharge its AI training models.

Perplexity — last valued at $14 billion and backed by SoftBank (TYO: 9984) and Nvidia (NASDAQ: NVDA) — previously expressed interest in acquiring TikTok’s U.S. operations. It has not disclosed funding details for the massive offer.

4. Ether Nears Record High

In crypto markets, Ether (ETH) rallied as much as 8.5% to $4,683, just shy of its November 2021 all-time high of $4,861. The surge follows a wave of corporate buying, mirroring the Bitcoin accumulation strategy popularized by Michael Saylor’s Strategy.

Bitcoin (BTC) also edged higher after the inflation data, as traders speculated on increased institutional adoption of both tokens.

5. Gold Edges Up Ahead of U.S.-Russia Talks

Gold prices inched higher, with spot gold up 0.3% to $3,359.54 an ounce and December futures at $3,408.22.
Rate cut expectations remain the key driver — CME’s FedWatch Tool shows a 96% probability of a September cut.

Geopolitics is also on the radar, with investors eyeing Friday’s meeting between U.S. President Donald Trump and Russian President Vladimir Putin in Alaska. Discussions are expected to center on the war in Ukraine and potential ceasefire proposals.

💡 Market takeaway:
Wall Street’s momentum is holding strong on hopes of Fed easing, with corporate deal-making and crypto rallies adding extra fuel to investor sentiment. However, geopolitical developments could inject volatility into the week’s end.