U.S. stock index futures showed little movement on Wednesday following a period of strong gains that propelled the S&P 500 to over three-week highs. Investors are seeking clarity on the Federal Reserve’s stance regarding interest rate cuts, with market sentiment influenced by recent economic data and corporate earnings.
The S&P 500 closed higher for a fourth consecutive session, supported by optimism from upbeat earnings reports and a softer-than-expected labor market report. Investors will closely monitor comments from Fed officials, including Vice Chair Philip Jefferson, Boston Fed President Susan Collins, and Governor Lisa Cook, for insights into the central bank’s monetary policy plans.
With the earnings season winding down and fewer economic reports expected this week, attention is turning to next week’s consumer prices reading to assess inflation trends. Market expectations for interest rate cuts have increased, with traders pricing in a higher likelihood of rate cuts in September and December, according to the CME Group’s Fedwatch tool.
Source: Reuters