U.S. stock futures point to a lower open as investors wait for the outcome on Wednesday of the Federal Reserve's policy meeting and any trade deal news.

The odds for a rate cut are less than 3%, according the CME's FedWatch tool that measure the market's expectations for monetary policy decisions.  However, investors will be keen to hear how the Fed's sizing up President Donald Trump's tariffs and their effect on inflation and the economy. Most economists expect tariffs to push up prices and slow the economy.

Investors are hoping that the Trump administration will avoid the stiffest penalties by negotiating deals with countries to lower costs. Several members of the administration have recently said that trade deals are forthcoming, maybe even some this week, but none have been announced yet.

Trump's ongoing tariff talk also keeps investors on edge. After the market closed on Monday, Trump said pharmaceutical tariffs will be introduced in the next two weeks.

At 6 a.m. ET, futures linked to the blue-chip Dow slid -0.72%, while broad S&P 500 futures dropped -0.83% and tech-heavy Nasdaq futures fell -1.12%.

Medora Lee is a money, markets, and personal finance reporter at USA TODAY. You can reach her at [email protected] and subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday.

This article originally appeared on USA TODAY: US stock futures lower as investors await Fed policy meeting