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Exxon Mobil ( XOM ) up as Q4 profit beats expectations

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Chevron ( CVX ) falls after missing Q4 results estimates

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December PCE price index data at 2.6% YoY

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Futures up: Dow 0.24%, S&P 500 0.42%, Nasdaq 0.72%

(Updates prices before markets open)

By Shashwat Chauhan and Sukriti Gupta

Jan 31 (Reuters) -

Wall Street's main indexes were set to open higher on Friday

on gains in Apple ( AAPL ) following its strong sales forecast, with an

in-line reading for the Federal Reserve's favored inflation

gauge keeping expectations about its interest-rate path

unaffected.

The personal consumption expenditures price index rose 0.3%

in December, compared to a 0.3% increase forecast by economists

polled by Reuters. In the 12 months through December, PCE

inflation advanced 2.6%, also matching estimates.

Excluding the volatile food and energy components, the

PCE price index increased 0.2% last month, against expectations

of a 0.2% increase. Annually, it came in at 2.8%, in line with

estimates.

Traders

kept

their bets on the Fed waiting until June to resume rate

cuts at 70% after the data was released, futures that settle to

the Fed's policy rate indicated.

The central bank held interest rates steady in its latest

rate decision earlier this week, and Fed Chair Jerome Powell

said there would be no rush to cut them again until inflation

and jobs data made it appropriate to do so.

Apple ( AAPL ) gained 4.2% in premarket trading on upbeat

executive comments in its earnings on Thursday, in a sign the

company expects to recover from a dip in iPhone sales as it

rolls out AI features.

"We still have a buy recommendation on Apple ( AAPL ) and think that

the company is showing some resiliency. Investors were expecting

the results to be even weaker than anticipated, so the market is

rewarding Apple ( AAPL ) for holding up quite well," said Sam Stovall,

chief investment strategist at CFRA Research.

Chevron ( CVX ) fell 1.2% after reporting fourth-quarter

earnings below estimates, while Exxon Mobil ( XOM ) rose about

1% after it beat fourth-quarter profit estimates.

Atlassian ( TEAM ) jumped 19.8% after the enterprise

software developer projected third-quarter revenue above

estimates and raised its annual revenue forecasts.

At 08:47 a.m. ET, Dow E-minis were up 110 points,

or 0.24%, S&P 500 E-minis were up 25.75 points, or

0.42%, and Nasdaq 100 E-minis were up 156.5 points, or

0.72%.

The S&P 500 and the Nasdaq were set for

weekly losses as tech shares suffered a rout after Chinese

startup DeepSeek unveiled a breakthrough in low-cost

artificial-intelligence models, triggering a bloodbath in

AI-linked stocks.

Microsoft ( MSFT ) plunged more than 6% on Thursday

following a disappointing growth forecast in its cloud computing

business, exacerbating broader losses.

Despite this week's volatility, all three major indexes were

on track for monthly gains, with the S&P 500 less than 1% short

of its all-time high, hit last week.

Meanwhile, global markets stayed vigilant after President

Donald Trump said on Thursday the U.S. would impose a 25% tariff

on imports from Mexico and Canada, repeating his warning ahead

of his previously announced Saturday deadline.

Among other movers, Vertex Pharmaceuticals ( VRTX ) rose

2.3% after the U.S. Food and Drug Administration approved the

drugmaker's non-opioid painkiller.

Deckers Outdoor ( DECK ) dropped 14.9% after the UGG

bootmaker's annual sales forecast raise missed lofty

expectations following a strong holiday quarter.

Walgreens Boots Alliance ( WBA ) lost 12% after the pharmacy

chain operator suspended its quarterly cash dividend amid

restructuring efforts.