Traders on the floor of the New York Stock Exchange are on edge as stock futures flickered near the flatline Monday evening, signaling a cautious start to the week on Wall Street. The anticipation is high as investors brace for the release of key inflation reports that could potentially impact market sentiment.
S&P 500 futures inched down by 0.06%, while Nasdaq 100 futures slipped 0.07% and Dow Jones Industrial Average futures lost 17 points, or 0.04%. This comes after the Dow posted its first losing session in nine, breaking its longest daily win streak since December. The S&P 500 also saw a slight decline, while the Nasdaq Composite managed to outperform, rising roughly 0.3%.
The New York Federal Reserve’s report showing an increase in consumers’ expectations for inflation over the short and long term in April has put pressure on the major averages and weighed on stocks. With the release of the producer price index reading for April scheduled for Tuesday morning, economists are closely watching for any signs of inflationary pressures in the economy.
Despite the recent market volatility, investors remain optimistic following comments from Fed Chair Jerome Powell indicating that a rate hike is unlikely in the near future, despite the surge in inflation readings in recent months. However, experts warn that the differing perspectives between Wall Street and Main Street could pose a risk for investors who are banking on potential rate cuts before any economic downturn.
As the market continues to navigate through uncertain times, traders are keeping a close eye on the upcoming inflation reports and how they could impact the future direction of the stock market. Stay tuned for more updates as Wall Street reacts to the latest economic data.
