U.S. stock futures rose in premarket trading on Wednesday after the release of slightly better-than-expected April inflation data.
The April Consumer Price Index (CPI) showed prices increased 0.3% in April, down slightly from March’s upwardly revised 0.4% increase. The core inflation rate, which strips out volatile food and energy prices, was 0.3%, also a deceleration from March. Annual inflation slowed to 3.4%, while core inflation ticked down to 3.6%.
Markets, on edge after three consecutive months of disappointing CPI reports and yesterday’s surprising wholesale inflation numbers, breathed a sigh of relief that the report was largely in line with expectations. Treasury yields tumbled on the release, with the 10-year yield dropping below 4.4% for the first time in more than a month.
GameStop (GME) and AMC Entertainment (AMC) were falling in early trading Wednesday after surging earlier in the week amid the revival of 2021’s meme stock frenzy.
Oil futures dipped as the International Energy Administration cut its 2024 global oil demand forecast.
Stocks closed in the green yesterday after shaking off the morning’s inflation data.
Stock Futures Little Changed Ahead of CPI
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Futures contracts connected to the Dow Jones Industrial Average were down less than 0.1%.
S&P 500 futures were also off less than 0.1%.
Nasdaq 100 futures were only slightly lower than the other indexes.
Read More: Stock Futures Jump, Yields Drop on CPI; Meme Stocks Slip