S&P 500 Futures gained 0.1% to 7,663.50 points, Nasdaq 100 Futures added 0.1% to 29,274.0 points, and Dow Jones Futures advanced 0.1% to 52,574.0 points

U.S. stock index futures rose slightly on Tuesday evening with markets turning largely cautious before a widely expected interest rate hike by the central bank.

High oil prices, amid continued tensions in the Middle East, also kept markets on edge, as did surging Treasury yields.

S&P 500 Futures gained 0.1% to 7,663.50 points by 23:25 GMT. Nasdaq 100 Futures added 0.1% to 29,274.0 points, and Dow Jones Futures advanced 0.1% to 52,574.0 points.

Futures rose after two straight days of losses on stock market, as rising oil prices, a rout in artificial intelligence stocks, and anticipation of a central bank rate hike on Wednesday spurred selling in risk-driven markets.

The central bank is widely expected to raise interest rates by at least 25 basis points to 4.0% at the conclusion of its two-day meeting on Wednesday.

Bets on a hike were fuelled by several policymakers voicing concern over increasingly sticky inflation, with data for August, released last week, also highlighting higher price pressures.

Beyond the hike, focus will be squarely on central bank Chair Kevin Warsh’s guidance for the coming months, although the central bank chair has repeatedly signalled that he will limit how much forward-looking information the central bank provides to markets.

Treasury yields surged in anticipation of a rate hike, with the benchmark 10-year yield hitting a near two-decade high of 5.03%. But yields reversed course after Treasury Secretary defended the administration’s economic policies, while also disclosing plans for an upcoming summit with China.

But the spike in yields rattled markets this week, with technology stocks in particular being sold down harshly.

Tech was also pressured by several major artificial intelligence executives calling for a slowdown in development of the technology due to the potential risks it could pose to humanity.

War in the Middle East continued to weigh on stock market, with oil prices surging close to their annual highs amid growing supply disruptions.