US stock futures retreat amid rate uncertainty; earnings deluge expected
Investing.com — U.S. stock futures fell Tuesday, as investors returned to their desks after the long weekend, ahead of a deluge of key earnings this week.
By 06:50 ET (11:50 GMT), the Dow Jones Futures contract was down 130 points, or 0.3%, S&P 500 Futures traded 18 points, or 0.4%, lower and Nasdaq 100 Futures dropped 95 points, or 0.5%.
U.S. markets were closed Monday for Presidents’ Day, and that followed a losing week on Wall Street, as the main indices all snapped five-week winning streaks amid persistent uncertainty over the future path of interest rates.
HIgher than expected consumer and producer prices last week prompted concerns that the Federal Reserve will keep interest rates at more than two-decade highs for longer than had been expected at the start of the year.
The release, on Wednesday, of the minutes of the Federal Reserve’s January meeting could provide more insight into the central bank’s thinking, with markets currently pricing in four quarter point rate cuts this year, starting in June.
Investors will also get a chance to hear from Fed officials during the week, including Atlanta Fed President Raphael Bostic, governors Lisa Cook and Christopher Waller, along with Vice Chair Philip Jefferson.
However, ahead of that, the focus is likely to be on a raft of quarterly corporate earnings reports, especially from the retail sector.
Home Depot (NYSE:HD) stock fell 3% premarket after the DIY retail giant posted a dip in fourth quarter comparable sales from a year ago, as cash-strapped shoppers reined in expenditures on major property improvements, opting instead to focus on smaller and cheaper projects.
Walmart (NYSE:WMT) is also in the spotlight, with the low-cost retailer due to report before the open
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