U.S. Stock Index Futures Slightly Higher Amid Nervous Anticipation
U.S. Stock Index Futures Show Modest Gains
U.S. stock index futures were slightly higher Tuesday, tracking a muted close on Wall Street amid nervous anticipation of key inflation data and the beginning of the quarterly earnings season.
At 06:25 ET (10:25 GMT), the Dow Jones futures rose 14 points, or 0.1%, the S&P 500 futures rose 5 points, or 0.1%, and the Nasdaq futures rose 20 points, 0.1%.
Nervousness on Wall Street Amid Inflation Data and Fed Minutes
There is a sense of nervousness on Wall Street, especially after Friday’s blowout jobs report, which saw traders further scale back bets that the Federal Reserve will cut interest rates in June.
A spike in Treasury yields, with the 10-year hitting a four-month high, also pressured stocks, amid growing fears over higher-for-longer interest rates.
CPI Inflation and Fed Minutes Awaited for Rate Cues
Monday saw a muted session on Wall Street as investors awaited more cues on the path of U.S. interest rates, with the CPI inflation data for March being the biggest point of focus this week.
The reading is due on Wednesday and is expected to show inflation potentially picking up and remaining above the Fed’s 2% annual target.
Sticky inflation has been a major point of contention for the Fed in potentially lowering interest rates. A string of officials have warned that high inflation could potentially delay rate cuts this year.
Banks Set to Kick Off Earnings Season
Anticipation of the first-quarter earnings season also kept Wall Street on edge.
Major U.S. banks are set to kick off the earnings season this week, with JPMorgan Chase, Citigroup, and Wells Fargo set to report earnings on Friday.
Delta Air Lines and BlackRock are also set to provide quarterly reports this week.
Crude Rebounds Amid Ceasefire Talks
Oil prices edged higher Tuesday, regaining some of the previous session’s lost ground on raised uncertainty over a possible ceasefire in the Israel-Hamas conflict.
By 06:25 ET, the U.S. crude futures traded 0.2% higher at $86.63 a barrel, while the Brent contract climbed 0.3% to $90.64 per barrel.
A fresh round of Israel-Hamas ceasefire discussions in Cairo had ended a multi-session rally on Monday, but the prospect of an immediate ceasefire remains fleeting, given that the two parties have failed to reach an agreement despite repeated efforts to broker peace.
