Stock futures dip slightly ahead of key inflation reading

Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, April 28, 2022.

Brendan McDermid | Reuters

Stock futures dipped in overnight trading Tuesday ahead of a key inflation reading.

Futures on the Dow Jones Industrial Average shed about 35 points, or 0.1%. S&P 500 futures eased 0.1% and Nasdaq 100 futures ticked down 0.1%.

The moves come after the Dow fell for a fourth consecutive day Tuesday in a volatile trading session alternating between gains and losses. The S&P 500 ticked up 0.25% and the Nasdaq Composite gained about 1%.

Mega-cap technology names, which have struggled in recent weeks, led gains Tuesday. Microsoft and Apple each rose more than 1%.

Investors are awaiting the release of April’s consumer price index Wednesday morning for the latest temperature check on inflation. Rising prices have been front-of-mind, particularly as the Federal Reserve is hiking interest rates and trimming its balance sheet to address inflation.

“We are seeing signs on a month-over-month basis that inflation is peaking,” Brian Belski, BMO Capital markets chief investment strategist, told CNBC’s “Closing Bell: Overtime” on Tuesday. “But are we going to see some sort of a surprise number? That could really get things going.”

Economists expect the CPI to rise 0.2% from the month prior and 8.1% year over year, according to the Dow Jones consensus estimate. That compares with March’s 8.5% year-over-year pace.

Investors are also looking to earnings reports from companies including Toyota Motors, Walt Disney and Beyond Meat.

Source: https://www.cnbc.com/2022/05/10/stock-market-futures-open-to-close-news.html