New Delhi, July 29 -- US stock futures traded modestly higher on Wednesday as investors remained cautious ahead of the US Federal Reserve's policy decision, while renewed hostilities in the Middle East reignited geopolitical tensions after several days of relative calm.

Futures linked to the S&P 500 and Nasdaq 100 rose 0.2% each, while Dow Jones Industrial Average futures slipped 106 points, or 0.2%. The sell-off in semiconductor stocks also continued. US-listed shares of SK Hynix fell another 2.1% in premarket trading, extending losses after the stock dropped below its IPO price.

In Asia, major benchmark indices ended lower. South Korea's Kospi plunged 6%, while Japan's Nikkei 225 declined 1.49%.

The sharp decline in Seoul was driven ...