Dow, S&P 500 Futures Rise Ahead of Key Inflation Data

NEW YORK, NY – U.S. stocks are aiming to recover from a three-day decline, with index futures showing a slight upward trend as traders await critical inflation data. Early indicators suggest that the market will start nervously, with all major futures—Dow, S&P 500, Nasdaq 100, and Russell 2000—trading modestly higher.

One key report to be released is the Bureau of Economic Analysis (BEA) personal income and spending report for August, which is expected to reveal a 2.7% year-over-year rise in the personal consumption expenditure (PCE) index. This figure is an increase from the 2.6% rate recorded in July. The core PCE index is anticipated to remain steady at an annual rate of 2.9%.

Traders are particularly cautious after the major averages fell on Thursday, with the SPDR S&P 500 ETF dropping 0.46% and the Invesco QQQ ETF declining by 0.43%. This decline was influenced by a stronger-than-expected second-quarter GDP report and jobless claims falling to a multi-month low.

Richmond Fed President Tom Barkin is scheduled to speak at 7:30 a.m. ET, followed by another appearance at 9 a.m. ET. Fed Vice Chair for Supervision Michelle Bowman will also address the public at 1 p.m. ET. In addition, the University of Michigan plans to release its final consumer sentiment index for September at 10 a.m. ET, with expectations that it will remain unchanged at 55.4, which is a four-month low.

As the market opens, crude and gold futures have shown slight increases, while the yield on the 10-year U.S. Treasury note continues to rise. Meanwhile, the U.S. dollar has seen a minor decline against most major currencies.

Asian markets have mostly dipped in response to Wall Street’s lackluster performance, though European stocks have begun the day on a more positive note.