(For a Reuters live blog on U.S., UK and European stock

markets, click LIVE/ or type LIVE/ in a news window.)

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Futures up: Dow 0.52%, S&P 500 0.35%, Nasdaq 0.08%

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Tariffs on Japanese autos cut to 15% from 27.5%

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AT&T ( T ) beats quarterly profit estimates, but shares slip

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Texas Instruments ( TXN ) slumps as tariff uncertainty hits demand

(Updates with prices, analyst comment before the opening bell)

By Nikhil Sharma and Pranav Kashyap

July 23 (Reuters) - Wall Street was poised for a

stronger start on Wednesday after President Donald Trump struck

a trade deal with Japan, shoring up expectations of further

agreements ahead of the fast-approaching August 1 deadline.

The pact will slash tariffs on the Japanese auto sector to

15% from 27.5%, with duties on other goods also dropping to 15%

from 25%.

At 8:24 a.m. ET, S&P 500 E-minis were up 22.5

points, or 0.35%, Nasdaq 100 E-minis were up 17.75

points, or 0.08%, and Dow E-minis were up 233 points, or

0.52%.

Futures tracking the domestically focused Russell 2000

small-cap index rose 0.9%.

Representatives from Washington and the European Union were

headed into negotiations, hoping to secure a breakthrough deal.

At the same time, the European Commission declared plans to

submit counter-tariffs on 93 billion euros ($109 billion) of

U.S. goods for approval to EU members.

"The United States has been working very hard on trying to

get a lot of trade deals in time before the August 1st deadline,

and it seems like they're starting to get some momentum. So I do

think this is a very positive sign," said Chris Zaccarelli,

chief investment officer at Northlight Asset Management.

Meanwhile, the S&P 500 notched its eighth record close in a

month on Tuesday, buoyed by easing trade tensions, a resilient

U.S. economy, and upbeat second-quarter earnings.

The Dow climbed 0.4%, now within striking distance of its

all-time high, while the Nasdaq slipped as declines in Meta and

Microsoft weighed on the tech-heavy index.

Investors are now laser-focused on earnings from the

"Magnificent Seven" - the market's star performers who have

powered stocks to record highs.

Tesla and Alphabet are set to report

after the bell on Wednesday. With AI optimism running high and

valuations stretched, expectations for these tech giants are

sky-high, leaving little margin for disappointment. Both the

stocks eased about 0.3% premarket.

In earnings-focused moves, Texas Instruments ( TXN ) tumbled

9.9% after its quarterly profit forecast failed to impress

investors, as it pointed to weaker-than-expected demand for its

analog chips from some customers and underscored tariff-related

uncertainty.

The earnings also weighed on its peer analog chipmakers,

with NXP Semiconductors ( NXPI ), Analog Devices ( ADI ) and ON

Semiconductor falling between 3.1% and 5.4%.

Automaker General Motors ( GM ) also became a casualty of

the trade war on Tuesday when it said Trump's tariffs took a

$1.1 billion hit on its quarterly earnings, sending its shares

down more than 8%.

Toymaker Hasbro rose 0.5% after raising its annual

revenue forecast, while AT&T ( T ) slipped 3.4% despite beating

quarterly profit estimates.

In economic data, existing home sales numbers for June are

due on the day. Thursday's weekly jobless claims numbers and S&P

Global's flash PMI data will be closely assessed to gauge

economic health in the wake of tariff uncertainties.

Following a mixed set of economic data last week, traders

have ruled out an interest rate cut by the Federal Reserve next

week. Odds for a September reduction stand at 56%, according to

the CME FedWatch tool.

The Fed's July meeting will follow on the heels of

mounting concerns about its independence amid political

interference and President Trump's persistent attacks on Chair

Jerome Powell for his reluctance to cut rates.