All eyes on Tuesday’s key inflation figures – US Market Wrap

12 Feb 2024 21:15Forex US Bonds US Indexes USD

Wall Street began the week with tiny changes in equities, bonds, and the dollar ahead of inflation data, which will be critical in determining the breadth and timing of Federal Reserve rate reduction.

The S&P 500 struggled to gain traction less than 24 hours before the consumer price index, and while the data is expected to highlight further disinflation, traders remained hesitant to commit to big bets. This sense of caution also prevailed after five weeks of gains that drove equities above overbought levels, prompting some calls for consolidation.

The S&P 500 fell after surpassing 5,050, while the Nasdaq 100 underperformed due to losses in Microsoft, Apple, and Tesla. Arm Holdings, a chip designer, rose 29%, while Treasury 10-year yields remained unchanged at 4.17%. Bitcoin lingered around $50,000.