S&P 500 and Nasdaq 100 futures were broadly unchanged, while the MSCI All Country World Index extended its longest winning streak since January. In New York, copper futures hit a record high after a brief contraction, sparking a rush to redirect the metal from other regions to the US.
Treasury yields fell and the dollar weakened slightly as the market awaited US consumer price index (CPI) data. The data is expected to show a modest decline in price increases. The core CPI, which excludes food and energy costs, is expected to slow to 0.3% month-on-month, down from 0.4%.
“There is a general expectation that the data will show a cooling from last month, and the market appears to be positioned for that,” said Samuel Zief, head of global currency strategy at JPMorgan Chase Bank. “However, if the data is positive, we could see a significant rebound in the dollar.”
A survey by 22V Research indicated that 49% of investors expect a “risk-on” market reaction to the CPI report, while 27% anticipate a “risk-off” response.
The recent rally in meme stocks eased, with GameStop Corp. and AMC Entertainment Holdings Inc. losing most of their premarket gains.
Shares of Boeing Co. fell slightly after the U.S. Department of Justice found that the company had violated a deferred prosecution agreement related to two fatal crashes that occurred five years ago.
In Europe, the benchmark index hit a new high as rising copper prices boosted mining stocks. The region could further benefit from potential rate cuts, with Bank of France Governor Francois Villeroy de Galhau suggesting the European Central Bank is likely to ease policy next month.
In commodities, oil traded within a tight range after the International Energy Agency lowered its demand growth forecast for 2024. Gold continued to rise, gaining almost 1% on Tuesday.
This week’s key events:
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Japan GDP and industrial production (Thursday)
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US Housing Starts, Initial Jobless Claims and Industrial Production (Thursday)
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Speeches by Philadelphia Fed President Patrick Harker, Cleveland Fed President Loretta Mester, and Atlanta Fed President Raphael Bostic (Thursday)
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Real estate prices, retail sales and industrial production in China (Friday)
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Eurozone CPI (Friday)
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US Conference Board Leading Index (Friday)
Market overview at 7:47 am New York time:
Stocks:
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S&P 500 Futures: Little Change
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Nasdaq 100 Futures: Little Has Changed
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Dow Jones Industrial Average Futures: Little Change
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Stoxx Europe 600: +0.3%
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MSCI World Index: up 0.1%
Coins:
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Bloomberg Dollar Spot Index: down 0.2%
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Euro: stable at 1.0826 dollars
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Pound sterling: up 0.1% to $1.2610
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Japanese yen: rose 0.5% to 155.70 per dollar
Cryptocurrencies:
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Bitcoin: 1.4% increase to $62,427.01
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Ether: 0.1% increase to $2,894.54
Captivity:
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10-year US Treasury yield: down three basis points to 4.41%
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German 10-year yield: down eight basis points to 2.47%
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British 10-year yield: down six basis points to 4.11%
Basic products:
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West Texas Intermediate crude oil: down 0.7% to $77.49 a barrel
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Spot gold: up 0.2% to $2,363.60 an ounce
Also read: GameStop Stock Soars Nearly 100% as Meme Stock Comes Back