- US stocks saw mixed trades on Monday as investors brace for the upcoming release of the January CPI report.
- The median forecast suggests year-over-year CPI will fall to 2.9%, a decline from the previous reading of 3.4%.
- A continued decline in inflation might push the Federal Reserve to cut interest rates sooner rather than later.
US stocks were mixed on Monday, with the Dow Jones Industrial Average closing at a record high while the S&P 500 and Nasdaq 100 edged lower.
Investors are now bracing for forthcoming January inflation data, with the CPI report scheduled to be released Tuesday morning.
Investors are looking for a continued decline in inflation. A lower reading would help solidify the Federal Reserve’s decision to cut interest rates later this year.
“Tomorrow will be all about CPI as investors want to see signs that the disinflationary process continues to move in the right direction,” NYSE senior market strategist Michael Reinking said in a Monday note to clients.
The median forecast suggests year-over-year CPI will fall to 2.9%, a decline from the previous reading of 3.4%. Meanwhile, year-over-year Core CPI is expected to drop to 3.7%, compared to its previous reading of 3.9%.
Here’s where US indexes stood at the 4:00 p.m. closing bell on Monday:
Here’s what else happened today:
In commodities, bonds, and crypto:
- West Texas Intermediate crude oil jumped 0.30% to $77.07 a barrel. Brent crude, the international benchmark, dropped 0.10% to $82.11 a barrel.
- Gold declined 0.23% to $2,034.10 per ounce.
- The 10-year Treasury yield rose one basis point to 4.17%.
- Bitcoin climbed 4.26% to $50,239.69.
