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March Consumer Price Index data due at 8:30 a.m. ET

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Delta Air Lines ( DAL ) gains on upbeat Q2 forecast

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Futures up: Dow 0.15%, S&P 0.09%, Nasdaq 0.05%

(Updated at 7:06 a.m. ET/ 1106 GMT)

By Shashwat Chauhan and Shristi Achar A

April 10 (Reuters) - U.S. stock index futures steadied

on Wednesday in the run-up to a crucial inflation reading that

could help shape the Federal Reserve's monetary policy path this

year.

Investors dialed down enthusiasm around how much the central

bank could cut rates after recent data indicating a robust U.S.

economy, along with two firm inflation readings earlier in 2024.

The focus is now on the March reading of the U.S. Consumer

Price Index (CPI), which is expected to show a rise in headline

inflation to 3.4% year-on-year, from 3.2% in February.

The core figure, which excludes volatile components such as

food and energy, is expected to ease to 3.7% year-on-year,

versus 3.8% in February.

"We expect March CPI to show a smaller monthly increase than

in January and February. Overall, our base case remains that the

Fed should be in a position to cut rates around mid-year for a

total of 75 bps of rate reductions in 2024," analysts at UBS

Global Wealth Management said in a note.

Traders have priced in about 67-basis-point rate cuts from

the Fed, according to LSEG data, down from about 150 bps

anticipated at the start of the year.

But they still see a nearly 54% chance for an at-least 25

bps cut in June, according to the CME's FedWatch Tool, down from

over 60% last week.

Minutes from the Fed's March meeting, where it stuck to its

guidance of three rate cuts this year, are due later in the day

and could be key in gauging the central bank's stance on cutting

interest rates.

Atlanta Fed President Raphael Bostic said in an interview to

Yahoo Finance on Tuesday that it was possible the Fed may not

cut interest rates at all this year if the progress on inflation

stalls and the economy continues to outperform.

The Nasdaq and the S&P 500 posted modest

gains in the last session, although declining financial shares

weighed ahead of the unofficial start to the first-quarter

earnings season.

Banking giants JPMorgan Chase ( JPM ), Citigroup ( C/PN ) and

Wells Fargo ( WFC ) are scheduled to report towards the end of

the week.

At 7:06 a.m. ET, Dow e-minis were up 60 points, or

0.15%, S&P 500 e-minis were up 4.5 points, or 0.09%, and

Nasdaq 100 e-minis were up 9.5 points, or 0.05%.

Megacap growth stocks were mixed in premarket trading, with

Alphabet edging up 0.7%, while Nvidia ( NVDA ) dipped

1.1%.

Among other stocks, U.S.-listed shares of Taiwan

Semiconductor Manufacturing Co rose 1.1% after the

chipmaker beat market estimates for first-quarter revenue.

Delta Air Lines ( DAL ) advanced 4.7% after the carrier

offered an upbeat outlook for the current quarter and topped

Wall Street estimates for first-quarter earnings on buoyant

travel demand.

U.S.-listed shares of Alibaba gained 2.9% after the

company's co-founder Jack Ma penned a lengthy memo to employees

on Tuesday, expressing support for the internet giant's

restructuring efforts - a rare move from the billionaire, who

has spent the last few years away from the spotlight.