US stock futures edge lower as focus turns to CPI data
Investing.com-- U.S. stock index futures fell in evening deals on Sunday, extending declines on Wall Street as the technology sector was walloped by profit-taking, with focus turning squarely to key upcoming inflation data.
Profit-taking in the technology sector, especially in market darling NVIDIA Corporation (NASDAQ:NVDA), saw Wall Street indexes pull back sharply from record highs on Friday.
A mixed employment report also factored into market caution, given that it showed nonfarm payrolls grew more than expected in February, and came just after a series of somewhat hawkish signals on U.S. interest rates from the Federal Reserve.
S&P 500 Futures fell 0.2% to 5,183.25 points, while Nasdaq 100 Futures fell 0.4% to 18,228.50 points by 19:04 ET (23:04 GMT). Dow Jones Futures fell 0.1% to 39,161.0 points.
Markets were now awaiting key consumer price index (CPI) inflation data, due on Tuesday, for more cues on the path of U.S. interest rates and the economy. The reading is expected to show some easing in inflation after outsized CPI readings for the past two months, although the core figure is still expected to remain well above the Fed’s annual 2% target.
Fed Chair Jerome Powell, as well as several other central bank officials, had signaled last week that they were still seeking more signs that inflation was weakening, before the bank would consider cutting interest rates.
Their comments had weighed on Wall Street, with Friday’s losses also coming as Minneapolis Fed President Neel Kashkari said he did not see more than one, or two rate cuts in 2024.
The S&P 500 fell 0.7% to 5,123.69 points on Friday, while the NASDAQ Composite fell 1.2% to 16,085.11 points. The Dow Jones Industrial Average closed 0.2% lower at 38,722.69
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