5 Things to Know

5 things to know before the stock market opens Wednesday

1. Wall Street set for higher open ahead of Fed statement, Powell news conference

Stock futures were pointing to a higher Wall Street opening on Wednesday ahead of the Federal Reserve's post-meeting monetary policy statement and Fed Chairman Jerome Powell's afternoon news conference. On Tuesday, the Dow Jones Industrial Average dropped 300 points, or 1.1%, snapping a six-session winning streak. Investors took profits in stocks that benefit from states relaxing coronavirus restrictions and are beginning to reopen their economies.

However, the Nasdaq, which traded above 10,000 for the first time ever, closed up rose 0.3% to 9,953 for another record close. In Tuesday's tech rally, Amazon, Apple, Facebook and Microsoft closed at all-time highs. Big Tech has fared better than most sectors during the coronavirus pandemic as newly remote workers have come to rely on online services.

Shares of Starbucks were off more than 2% in Wednesday's premarket after the coffee giant said it expects to swing to a loss in its fiscal third quarter. The company predicts it lost as much as $3.2 billion in revenue in Q3 due to the coronavirus pandemic. Starbucks, which withdrew its prior outlook in April, is forecasting a net loss per-share of 64 cents to 79 cents and adjusted losses per share of 55 cents to 70 cents for quarter ended June 28. But it expects to return to profitability in its fiscal fourth-quarter.

2. Fed set to provide economic, rates projections

The Fed will be revealing its first forecasts for the economy and interest rates since late last year. Central bankers skipped making projections in March just as the pandemic forced the abrupt shutdown of the economy. The Fed is not expected to take any action on rates or policy on Wednesday. However, Wall Street hopes to hear soothing words from Powell and answers on the scope of Treasury purchases as the government issues more and more debt. The Fed's unprecedented monetary stimulus, including open-ended asset buying and near-zero interest rates, has been a back-stop for stocks.

3. California and 20 other states report Covid-19 spikes

People enjoy sunshine at a beach near the Golden Gate Bridge amid the coronavirus outbreak on May 25, 2020 in San Francisco, California.
Liu Guanguan | China News Service | Getty Images

Coronavirus cases are spiking in parts of California and 20 other states. Many of the recent infections have been linked to loosened restrictions as states begin to reopen. Health officials believe other cases have been passed along by people not following social-distancing recommendations. Cases in Arizona have increased 115% since mid-May, when it became one of the first states to reopen, leading a former state health chief to warn that a new stay-at-home order or field hospitals may be needed. Texas reported a second straight day of record-breaking Covid-19 hospitalizations.

4. AMC looks to reopen theaters globally next month

"Theater Closed" signs are posted in front of the AMC Montebello, as the US chain of AMC movie theaters closes for 6 to 12 weeks, On March 17, 2020 in Montebello, California, as the coronavirus (covid-19) epidemic leads to restaurant and school closures and workers working from home in an effort to encourage social distancing.
Frederic J. Brown | AFP | Getty Images

AMC Entertainment plans to reopen theaters globally in July, with limited capacity and certain seats blocked off to maintain safety. AMC, which closed theaters in March due to the pandemic, also announced a partnership with Clorox to sanitize its locations. Shares of AMC were up more than 7% in Wednesday's premarket. AMC said late Tuesday that total revenue fell nearly 22% to $941.5 million in the quarter ended March 31, with net losses widening to $2.18 billion. Last week, AMC raised "substantial doubts" about continuing operations if it were forced to keep theaters closed for a longer period.

5. HBO Max temporarily removes 'Gone With the Wind'

Actors Clark Gable and Vivien Leigh, as adventurer Rhett Butler and heiress Scarlett O'Hara in a scene from the spectacular film Gone with the Wind by Victor Fleming, passionately hug each other. United States, 1939.
Mondadori Portfolio | Mondadori Portfolio | Getty Images

AT&T's HBO Max is temporarily removing "Gone With the Wind" from the platform over racist depictions in the 1939 epic. The new streaming service said the Oscar-winning movie will return later with more historical context, including a discussion and denouncement of those depictions. The moves come as protests against racism and police brutality continued across the nation following the death of George Floyd at the hands of a white Minneapolis police officer. Floyd's funeral was held Tuesday in Houston where he grew up.

— Reuters and The Associated Press contributed to this report. Follow all the developments on Wall Street in real-time with CNBC's live markets blog. Get the latest on the pandemic with our coronavirus blog.