Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

U.S. Futures Edge Lower; Inflation Data, Banks Earnings Due This Week

Stock MarketsJan 10, 2022 06:55AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

By Peter Nurse   

Investing.com - U.S. stocks are seen opening marginally lower Monday, with technology underperforming ahead of the release of key inflation data this week which could point towards early Federal Reserve hikes in 2022.

At 7 AM ET (1200 GMT), the Dow Futures contract was flat, S&P 500 Futures traded 5 points, or 0.1%, lower and Nasdaq 100 Futures dropped 35 points, or 0.2%.

The major indices on Wall Street have had a shaky start to the year, with the tech-heavy Nasdaq Composite posting four losing days on the trot last week as rising expectations of Fed hikes pressured a sector whose sky-high valuations have owed much to assumptions of easy money for years out into the future. 

With this in mind, investors will focus squarely on Wednesday’s consumer price inflation data. This is expected to show headline CPI breaking above 7% year-on-year, approaching a four-decade high, and underscoring why the Fed could start its rate hike cycle as early as March.

The nomination hearings of Federal Reserve Chairman Jerome Powell, on Tuesday, and Fed Governor Lael Brainard for the post of vice chair on Thursday will also be followed closely for any clues of the future of monetary policy. 

Influential investment bank Goldman Sachs now sees the Federal Reserve raising interest rates four times this year, starting its balance sheet runoff process in July, if not earlier.

In corporate news, Tesla (NASDAQ:TSLA) will be in focus Monday after Goldman Sachs named the electric car manufacturer as its top pick for 2022, saying innovation in the sector will continue to drive growth for investors.

The big U.S. banks start posting fourth-quarterly earnings results at the end of this week, with JPMorgan Chase (NYSE:JPM), Citigroup (NYSE:C) and Wells Fargo (NYSE:WFC) scheduled to report on Friday. Analysts expect big U.S. banks to show an uptick in fourth quarter core revenues, helped by higher Treasury yields.  

Cannabis company Tilray (NASDAQ:TLRY) heads up a thin earnings schedule on Monday.

Oil prices stabilized Monday after the sharp gains of the previous week, as operator Chevron said Sunday that Kazakhstan's largest oil venture, Tengizchevroil, is gradually returning to normal production levels after recent protests limited output.

Libya’s oil production is also recovering after a major crude pipeline was fixed, the country’s energy minister said Monday.

Supply outages in places like Kazakhstan and Libya have thrown the spotlight on global supply, superseding concerns that the spread of the Omicron coronavirus variant might hurt demand.

By 7 AM ET, U.S. crude futures traded 0.2% lower at $78.78 a barrel, while the Brent contract fell 0.1% to $81.66. Both contracts posted gains of around 5% in the first week of the year.

Additionally, gold futures rose 0.2% to $1,800.20/oz, while EUR/USD traded 0.3% lower at 1.1326.

 

 

U.S. Futures Edge Lower; Inflation Data, Banks Earnings Due This Week
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (4)
Arno Pfohl
JackR3acher Jan 10, 2022 8:07AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
FED thinks Inflation is DEMAND driven by consumers, although in fact it is SUPPLY driven through factors of production such as High oil prices manipulated by Governments(USA - push for RE, Russia - retaliation for sanctions) and OPEC - oil cartel.  The US public and the world is being squeezed from both sides now by governments for political negligence.
Arno Pfohl
JackR3acher Jan 10, 2022 8:07AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Free market is in jeopardy!!
Edward Chong
Edward Chong Jan 10, 2022 7:42AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
trust goldman. u will get burn.
Rob Pira
Rob Pira Jan 10, 2022 7:26AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
the fed is late to the party, now it may not show up at all.
Mitchel Pioneer
Mitchel Pioneer Jan 10, 2022 7:18AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The unrelenting string of pre-market fraud continues.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email