Updates before market open

By Twesha Dikshit and Joel Jose

June 24 (Reuters) - Wall Street's major indexes were on track for a higher open on Wednesday after two straight sessions of declines, as investors returned to beaten-down technology shares and awaited Micron's earnings.

Concerns around debt-backed spending by hyperscalers and a potentially more hawkish Federal Reserve fueled the downturn this week, wiping off more than $1 trillion in market value from the Nasdaq 100.

Memory chipmakers moved higher in premarket trading, following a sharp plunge in the previous session, with Micron Technology MU.O and Sandisk SNDK.O adding 4.9% and 3.7%, respectively.

Increased volatility in equities has intensified focus on Micron's results after the bell, as it is a key beneficiary of surging demand from companies investing billions in AI infrastructure. The stock has surged more than 268% in 2026, despite a 13% drop on Tuesday.

"Micron’s earnings this time are central to market sentiment. Investors have key questions, particularly around the cost of bringing AI to life - how expensive it has become and what kind of return on investment companies are seeing," said Brent Schutte, chief investment officer at Northwestern Mutual Wealth Management Company.

At 08:20 a.m. ET, Dow E-minis YMcv1 were up 75 points, or 0.14%, S&P 500 E-minis EScv1 were up 27.75 points, or 0.37%, and Nasdaq 100 E-minis NQcv1 were up 201 points, or 0.68%.

Investors continued to monitor Middle East developments after the U.S. and Iran offered conflicting accounts on a range of key issues including financial incentives for Iran, control over the Strait of Hormuz and Israel's war in Lebanon.

Brent crude prices fell to their lowest in nearly four months as more tankers were set to move out of the Strait of Hormuz. U.S. President Donald Trump said Iran had told Washington that no tolls were being sought.

Optimism surrounding an end to the war and strong earnings growth expectations have put the S&P 500 .SPX on track for its strongest quarterly gain in six years, despite expectations of higher interest rates.

Traders are adding to bets of a second rate hike from the Fed by December-end, according to CME Group's FedWatch tool, from prior expectations of a single 25-basis-point rise, after new chair Kevin Warsh emphasized the need to curb inflation.

The closely watched Personal Consumption Expenditures Price Index, the Fed's preferred inflation gauge, could offer fresh insight on the monetary policy path on Thursday. Economists expect a rise to 4.1%, more than twice the central bank's target.

Meanwhile, J.P. Morgan increased its year-end S&P 500 price target to 7,800 points, citing strong earnings growth momentum and a resilient economy.

Among other movers, Cerebras Systems CBRS.O tumbled 7.6% after the chip designer forecast full-year profit margins would drop below first-quarter figures in its debut report after going public.

FedEx FDX.N slid 7.3% after reporting that margins in its core delivery segment shrank in the latest quarter from a year earlier.

Hertz HTZ.O tumbled 18.4% after the car rental firm said it expects second-quarter adjusted core earnings near the lower end of its forecast range and announced a proposed offering of $100 million of common stock.