Amidst investor attention on the August consumer inflation report, U.S. stock futures fell on Wednesday.
Next week’s Dow Jones Industrial Average futures dropped 140 points, or 0.4%. There was a 0.2% decline in both S&P 500 and Nasdaq 100 futures.
The headline CPI is predicted by Dow Jones economists to have increased by 2.6% from a year ago and by 0.2% from the preceding month.
The extent of the widely anticipated rate cut at the conclusion of the Federal Reserve’s two-day meeting on September 18 may be determined in part by the CPI report and Thursday’s producer pricing index.
The FedWatch Tool from CME indicates that there is a 69% probability of a 25 basis point rate drop and a 31% chance of a 50 basis point reduction based on Fed funds futures trading.
Source (CNBC)
