Stock futures rose Monday morning after the S&P 500’s third consecutive weekly gain, as investors focused on a key inflation report this week.
Dow Jones Industrial Average futures gained 155 points or 0.5%. S&P 500 and Nasdaq 100 futures rose 0.4% and 0.3% respectively. Futures contracts hit their highs after Nvidia reported weak Q2 earnings.
Monday’s gain follows a weekly rise in the S&P 500 and Nasdaq Composite, as a surprisingly strong monthly jobs report eased some recession fears. The resilience of the labor market also signaled that the economy could withstand further rate hikes from the Federal Reserve.
“The stock market rally from the June 16 low appears to have legs in our view based on economic data and earnings releases through last Friday,” Oppenheimer chief investment strategist John Stoltzfus said in a statement. note to customers.
Some clean energy stocks gained after the Senate passed a $430 billion climate bill, the Curbing Inflation Act, which is expected to pass the House later this week . The Invesco Solar ETF was up 1.7% in early trading.
A new reading of the consumer price index, due out on Wednesday, will give investors more clarity on the central bank’s next move at its policy meeting in September. Traders are now pricing in a higher probability of a 0.75 percentage point rise next month, which would be the third consecutive rise of this magnitude.
The headline CPI, which includes energy and food, is expected to fall to 8.7% in July from a 40-year high of 9.1% in June, according to Dow Jones estimates.