07:28 AM EDT, 06/18/2025 (MT Newswires) -- The main US stock measures rebounded in Wednesday's premarket activity as traders await the Federal Reserve's decision on interest rates and monitor the ongoing conflict between Israel and Iran.

The S&P 500 edged up 0.1%, the Nasdaq added 0.2%, while the Dow Jones Industrial Average was slightly in the green before the opening bell. The indexes closed the previous trading session lower. US markets will be closed on Thursday for the Juneteenth National Independence Day holiday.

The Fed is due to announce its latest monetary policy decision at 2 pm ET, with Chair Jerome Powell scheduled to hold a press conference at 2:30 pm. Markets are widely expecting the Federal Open Market Committee to hold its benchmark lending rate steady, according to the CME FedWatch tool.

The Fed's decision comes amid repeated calls by President Donald Trump for the central bank to lower interest rates. Government data last week showed that consumer inflation unexpectedly decelerated in May, prompting Trump to suggest that the Fed should lower its policy rate by a full percentage point.

"The FOMC will likely be more dovish than the market expects and stick to its forecast of two rate cuts this year," Nomura said in a Tuesday note.

Israel and Iran continued to trade strikes overnight and into Wednesday, according to several media publications. Trump on Tuesday demanded "unconditional surrender" by Iran, stressing that Tehran should have signed a deal with Washington.

US Treasury yields were down in premarket action, with the two-year rate retreating 1.1 basis points to 3.94% and the 10-year rate declining 1.8 basis points to 4.37%.

West Texas Intermediate crude oil nudged 0.1% higher to $74.92 a barrel pre-bell. The International Energy Agency on Tuesday reduced its projections for global oil demand growth for 2025 and 2026, while highlighting geopolitical uncertainties as a substantial risk to supply security.

Wednesday's economic calendar has the weekly mortgage applications bulletin at 7 am, followed by the weekly jobless claims report and the housing starts and permits data for May at 8:30 am ET. The weekly EIA domestic petroleum inventories report is out at 10:30 am.

Retail sales in the world's largest economy fell more than market expectations last month, amid declines in purchases of motor vehicles and building materials, data from the Census Bureau showed Tuesday. Homebuilder confidence in June reached its lowest level since December 2022 amid affordability headwinds and macro uncertainty, according to data released by the National Association of Home Builders and Wells Fargo on Tuesday.

Korn Ferry ( KFY ) and GMS (GMS) report their latest financial results before the bell.

Gold slipped 0.2% to $3,399 per troy ounce, while bitcoin decreased 0.6% to $104,392.