Investing.com — U.S. stock index futures rose slightly in Sunday night trading as sentiment remained upbeat after last week’s strong jobs report, providing further clues about interest rates and corporate earnings in the coming days. The focus shifted.
Wall Street rose sharply on Friday as better-than-expected economic data eased concerns about a slowdown in the U.S. economy. But the result also ended hopes of a significant rate cut in the coming months.
By 19:34 ET (23:34 GMT), it rose 0.1% to 5,804.50 points and rose 0.1% to 20,245.50 points. It rose 0.1% to 5,751.07 points.
Fed Comments, CPI Inflation Is Underway
This week will focus on further signals from the Fed, with a number of officials scheduled to speak in the coming days. Members of the rate-setting committee are still scheduled to speak later Monday.
Their addresses come before the deadline on Wednesday. The Fed cut interest rates by 50 basis points during the meeting, marking the start of an easing cycle.
September inflation data is expected to be released later this week and is likely to be factored into forecasts for US interest rates.
This week’s clues come after Friday’s better-than-expected nonfarm payrolls dispelled expectations of a 50 basis point rate cut in November, and traders now believe the Fed will cut rates in September. We’re betting on a slower pace of rate cuts after the 50 basis point cut. showed.
Traders were also seen pricing in a hike in final interest rates. Wall Street rose on signs of U.S. economic recovery, but rising interest rates are expected to limit gains in the coming months.
It rose 0.9% to 5,751.07 points on Friday, staying close to its all-time high. It rose 0.8% to a record high of 42,352.75 points, and rose 1.2% to 18,137.85 points.
Banks to begin third quarter earnings season
This week’s focus is on major banks JPMorgan Chase (NYSE:), wells fargo & Company (NYSE:) and Bank of New York Mellon (NYSE:) are scheduled to report quarterly results on Friday.
Markets are focused on whether corporate earnings can withstand pressure from high interest rates and persistent inflation.
The pace of earnings is expected to accelerate next week, with further earnings from major banks and tech companies expected in the coming days.
