S&P 500 barely changes as investors hold tight ahead of inflation data
investors took a breather after three weekly gains while they awaited key inflation readings and earnings reports due this week while a survey showed consumers concerned about inflation.
A Federal Reserve Bank of New York survey, released on Monday, found that Americans see inflation at 3.3% a year from now from March's 3% while they expect inflation three years from now at 2.8%. This followed a University of Michigan report on Friday that showed U.S. consumer sentiment sagged to a six-month low in May as households worried about the cost of living.
Last week the Nasdaq composite and the S&P 500 both registered their third straight weeks of gains, boosted by strong earnings reports and signs of a cooling labor market that fueled bets of one or two Federal Reserve rate cuts this year.
But on Monday investors appeared anxious to stay clear of making big bets ahead of April Consumer Price Index (CPI) data due out on Wednesday. They will also preparing to monitor producer price index data, retail sales data, weekly jobless claims and earnings reports from big retailers Home Depot and Walmart, all due out this week.
«Investors are like somebody looking out the window trying to see what the weather's like before deciding what to wear. Today and tomorrow are going to be all about Wednesday's consumer inflation report,» said Burns McKinney, portfolio manager at NFJ Investment Group in Dallas.
«In the last three months that's been the single biggest mover. Each of these times inflation's come in a little bit stickier
