Dow futures retreat; inflation data, Black Friday sales in focus
Investing.com — U.S. stock futures traded lower Monday, as investors turned cautious approaching the end of a generally positive month and the release of key inflation data.
By 06:05 ET (11:05 GMT), the Dow Futures contract was down 27 points, or 0.1%, S&P 500 Futures traded 5 points, or 0.1%, lower and Nasdaq 100 Futures dropped 16 points, or 0.1%.
The main Wall Street indices closed last week higher, the fourth-straight winning week for the three major averages, fuelled by falling Treasury yields and cooling inflation readings that could signal the end of Federal Reserve rate hikes.
The NASDAQ Composite has rallied 12% so far in November, the Dow Jones Industrial Average has advanced more than 9%, and the S&P 500 is up almost 11%.
However, the approach of the month's end appears to be generating a degree of caution given these hefty gains, especially ahead of the release of a key inflation reading later in the week.
The Fed’s preferred inflation gauge, the personal consumption expenditures price index, is due on Thursday, and expected to have risen just 0.1% on the month in November, a drop from 0.4% in September.
The core reading, which strips out food and fuel costs and is considered a better gauge of underlying inflation, is expected to have risen 3.5% on a year-over-year basis, a drop from 3.7% the prior month, and the lowest since mid-2021.
Figures on new home sales and building permits for October are due later Monday, and this week also sees the first revision of third quarter GDP, the weekly report on jobless claims and the Fed’s Beige Book.
The retail sector will be in the spotlight during the session, with investors looking for updates about the start of the shopping season in the wake of Black Friday and
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