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US stock index futures little changed ahead of key CPI data release

Published 11/12/2024, 11:00 am
Updated 11/12/2024, 10:08 pm
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Investing.com - US stock index futures were little changed Wednesday, steadying after a negative session on Wall Street as anticipation of key inflation data kept investors on edge. 

At 06:05 ET (11:05 GMT), Dow Jones Futures fell 65 points, or 0.2%, while S&P 500 Futures gained 7 points, or 0.1%, and Nasdaq 100 Futures rose 40 points, or 0.2%. 

Wall Street indexes ended lower on Tuesday amid sustained weakness in technology stocks, especially after weaker-than-expected earnings from cloud giant Oracle (NYSE:ORCL). 

This marked the second straight losing day for the S&P 500 and the NASDAQ Composite and the fourth negative session in a row for the Dow Jones Industrial Average

CPI data eyed for more rate cues 

The focus is now squarely on consumer price index data due on Wednesday, for more cues on inflation and the potential path of interest rates.

Headline CPI is expected to rise to 2.7% from 2.6% year-on-year, while core CPI, which excludes volatile food and energy items, is forecast to remain at 3.3%. 

Wednesday’s reading is likely to factor into the Fed’s plans for interest rates, amid growing uncertainty over the long term outlook for rates. 

The central bank is widely expected to cut interest rates by 25 basis points when it meets next week. But several Fed officials have called for a more cautious approach to future easing, citing concerns over sticky inflation and resilience in the U.S. economy. 

Investors are also seeking more cues on what President-elect Donald Trump’s policies will entail for inflation and the economy, with his plans for increased trade tariffs expected to increase price pressures. 

Adobe results due 

On the corporate earnings front, Adobe Systems (NASDAQ:ADBE) will release its results after the bell, while Google owner Alphabet (NASDAQ:GOOGL) will be in the spotlight after the tech giant announced a new breakthrough in quantum computing, which could herald a sharp increase in computing speeds.

Additionally, Dave & Buster’s Entertainment (NASDAQ:PLAY) stock slumped 16% premarket after the Dallas-based arcade and restaurant chain announced the exit of CEO Chris Morris and reported disappointing third-quarter results.

Crude looks for Chinese boost 

Crude prices rose Wednesday, with traders looking for more economic stimulus from China, the world's largest crude importer. 

By 6:05 ET, the US crude futures (WTI) gained 1% to $69.25 a barrel, while the Brent contract rose 0.9% to $72.85 a barrel.

Chinese authorities have pledged to enact more targeted stimulus measures to boost economic growth, ramping up hope that oil demand will recover. 

Trade data also showed a sharp increase in Chinese oil imports through November - the first annual growth in seven months. 

However, gains have been limited by industry data showing that US oil inventories unexpectedly grew in the week to Dec. 6, raising concerns that demand will dwindle further in the winter season.

Official data, from the Energy Information Administration, is due later on Wednesday. 

(Ambar Warrick contributed to this article.)

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