Futures rise as PPI set to kick off data deluge
Futures for major U.S. stock indexes increased on Tuesday as investors awaited producer price data, which could provide insights into the Federal Reserve’s strategy on inflation and interest rates.
On Monday, the S&P 500 stayed nearly flat, and the Nasdaq had slight gains after a week of mixed economic reports and a rate hike by Japan’s central bank.
The focus will be on the U.S. producer price index (PPI) data, expected to show a yearly inflation rate of 2.3% for July and a monthly rate unchanged at 0.2%.
his will be followed by the crucial consumer price index (CPI) figures on Wednesday.
Traders are divided between expecting a 25- or 50-basis point rate cut by the Federal Reserve in September, with year-end rate predictions ranging from 4.25% to 4.50%.
Investors are also awaiting comments from Atlanta Fed President Raphael Bostic and the retail earnings report from Home Depot.
Wall Street’s fear gauge, the CBOE Volatility Index (VIX), was at 20.14 after dropping on Monday.
As of 05:19 a.m. ET, Dow E-minis were up 0.16%, Nasdaq 100 E-minis rose 0.52%, and S&P 500 E-minis gained 0.34%.