New York City, NY – Stock futures took a dip on Sunday evening as investors braced themselves for a busy week of economic data following losses earlier in the month. The S&P 500 futures were down by 0.8%, while Nasdaq 100 futures saw a nearly 1% drop. Similarly, Dow Jones Industrial Average futures slipped by 0.6%.
Last week, major stock indexes experienced significant declines, with the S&P 500 marking its worst weekly performance since September. The Dow and Nasdaq Composite also saw losses of 2.37% and 3.45%, respectively. These challenges were attributed to market volatility caused by ongoing negotiations over tariffs between the U.S., Mexico, and Canada.
President Donald Trump addressed concerns about a possible recession in an interview on Fox News, acknowledging that the economy was in a state of transition. The upcoming week is expected to continue to be politically turbulent, with a packed schedule of economic data releases that could impact the markets.
Investors are closely watching for the New York Fed survey of consumer expectations on Monday, as well as the University of Michigan consumer sentiment reading on Friday. Additionally, the release of the February consumer price index on Wednesday and the producer price index on Thursday will provide crucial insights into inflation trends.
Comerica Bank chief economist, Bill Adams, emphasized the importance of monitoring inflation data, noting that both the Consumer Price Index and the Producer Price Index likely experienced more moderate increases in February. Factors such as tariffs and tariff threats may have contributed to faster rises in producer prices compared to consumer prices, maintaining elevated annual PPI levels.
Overall, the week ahead is poised to be eventful for investors, with economic data releases and ongoing political developments shaping market sentiment. Traders are advised to remain vigilant and adapt their strategies accordingly amidst the current economic landscape.