5 things to know before the stock market opens Wednesday, Jan. 26

Here are the most important news, trends and analysis that investors need to start their trading day:

Dow futures on Wednesday jumped nearly 400 points, or 1%, as Wall Street waits to hear from the Federal Reserve in the afternoon about its tightening plans after its two-day January meeting. Dow stock Microsoft‘s over 4% premarket jump on strong earnings helped boost overall sentiment as a recent stretch of volatility continued. S&P 500 and Nasdaq futures rose roughly 1.5% and more than 2%, respectively.

• The Dow Jones Industrial Average on Tuesday closed modestly lower following another volatile session, which saw intraday swings from an over 800-point decline to a more than 220-point advance. The S&P 500 and the Nasdaq on Tuesday closed down more than 1% and over 2%. The Nasdaq sank deeper in a correction.

The 30-year Treasury yield, which has moderated recently, dipped to around 1.78% early Wednesday. Last week, the benchmark yield topped 1.9% to highs back to January 2020. Concerns about rising inflation and how the Fed is going to further combat it will be front and center in investors’ minds as the central bank releases its policy statement at 2 p.m. ET. Fed Chairman Jerome Powell holds his post-meeting news conference at 2:30 p.m. ET. Fed officials are expected to say they’re ready to increase interest rates from near zero as soon as March after bond-purchase tapering ends. Four hikes are seen this year.

Boeing took a $3.5 billion pretax charge on its 787 Dreamliners after production issues prevented the company from delivering the planes to airlines for most of the last 15 months. Before the bell, Boeing also said it generated positive cash flow in the fourth quarter, hitting that milestone earlier than forecast. It was driven by a jump in 737 Max deliveries last year after regulators lifted bans on the jets after two fatal crashes. The Dow stock added more than 2% in the premarket. Boeing reported a much wider-than-expected Q4 loss and missed on revenue.

AT&T on Wednesday morning beat estimates for fourth-quarter adjusted earnings and revenue, boosted by strong growth…