US stock futures inch higher as AI rally continues; inflation cues awaited
Investing.com-- U.S. stock index futures rose slightly in evening deals on Monday, recovering some ground after a negative session on Wall Street as markets remained largely on edge ahead of more cues on inflation and the Federal Reserve.
Gains in major artificial intelligence stocks spilled over into aftermarket trade, as investors remained optimistic over the rapidly growing sector.
But Wall Street now appeared to be cooling after rallying to record highs last week on the back of a seemingly dovish Federal Reserve. Regulatory action against some of the biggest technology companies also weighed on sentiment.
S&P 500 Futures rose 0.1% to 5,283.50 points, while Nasdaq 100 Futures rose 0.1% to 18,539.75 points by 20:04 ET (00:04 GMT). Dow Jones Futures rose 0.1% to 39,722.0 points.
PCE price index data- which is the Fed’s preferred inflation gauge- is due this Friday, when markets will be closed. But the reading will still be closely watched for more cues on the path of inflation, given that the Fed warned that any interest rate cuts in 2024 will be largely contingent on inflation moving towards its 2% annual target.
Along with the inflation data, a string of Fed officials are also set to speak this week, with particular focus on Federal Open Markets Committee member Mary Daly and Fed Chair Jerome Powell, both of whom will give separate addresses on Friday.
While the Fed signaled last week that it will cut rates by 75 basis points in 2024, markets remained on edge over any potential changes to this outlook, particularly from hot inflation. This notion spurred some losses on Wall Street.
The S&P 500 fell 0.3% to 5,218.19 points, while the NASDAQ Composite closed 0.3% lower at 16,484.47 points on Monday. The Dow Jones
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