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U.S. Stock Futures Edge Higher Ahead of Holiday as Investors Await Key Economic Data

U.S. Stock Futures Edge Higher Ahead of Holiday as Investors Await Key Economic Data. Source: The original uploader was RMajouji at English Wikipedia., CC BY 2.5, via Wikimedia Commons

U.S. stock index futures moved slightly higher Sunday evening in thin trading volumes ahead of Monday’s market holiday, as investors prepared for a busy week of economic data that could influence Federal Reserve interest rate policy. The modest gains follow a second consecutive week of losses on Wall Street, with recent inflation data offering limited reassurance to markets.

S&P 500 Futures climbed 0.2% to 6,863.50, while Nasdaq 100 Futures gained 0.16% to 24,843.0. Dow Jones Futures rose 0.1% to 49,608.0. Despite the uptick in futures, investor sentiment remains cautious after major indexes posted weekly declines. The S&P 500 fell roughly 1.5% last week, the Nasdaq dropped 2.1%, and the Dow Jones Industrial Average ended largely unchanged.

Friday’s consumer price index (CPI) report for January showed headline inflation slightly below expectations, while core CPI matched forecasts. Although the data hinted at easing price pressures, it failed to spark a sustained rally. Concerns about the long-term impact of artificial intelligence disruptions, particularly in technology stocks, continued to weigh on the broader market. Selling pressure in software and transportation shares extended into financial services, media, and real estate sectors.

Investors are now focused on several key economic indicators scheduled for release this week. January industrial production data and the minutes from the Federal Reserve’s latest policy meeting are due Wednesday. Market participants will closely analyze the Fed minutes for signals on future interest rate decisions.

Additional reports include U.S. trade data and the Personal Consumption Expenditures (PCE) price index, the Fed’s preferred inflation gauge. February purchasing managers’ index (PMI) data will also provide insight into business activity. Together, these economic releases are expected to shape market expectations for interest rates and the broader outlook for U.S. stocks.

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