Stocks were rising Monday, putting equities on track for a fourth straight session of gains as investors looked to key inflation data coming later in the week.
Futures for the Dow Jones Industrial Average advanced 90 points, or 0.3%, after the index rallied 1.2% on Friday to close at 32,151. S&P 500 futures signaled a start 0.4% into the green while the tech heavy Nasdaq was poised to gain 0.5%.
Stocks rallied last week to snap three consecutive weeks of losses, and the momentum looked to be carrying through into Monday with what would be the fourth straight day of gains.
“U.S. and European futures are picking up the momentum from Asia, where things have been trading in a positive direction,” said Naeem Aslam, an analyst at broker AvaTrade.
Looming large in the days ahead is the U.S. consumer-price index for August. The inflation data will be key ahead of the Federal Reserve’s next decision on monetary policy, scheduled for next week. Tighter financial conditions have rocked stocks this year and raised the prospect of recession as central banks have fought back against red-hot inflation with the most aggressive interest-rate hikes in decades. The Fed is expected to embark on a third, super-sized rate hike of 75 basis points when it meets Sept. 20-21.
“For the rest of the week, there’s only one focal point and that’s the U.S. CPI report tomorrow, the last before the Fed’s September 21st meeting,” said Jim Reid, a strategist at Deutsche Bank. “The Fed are now in their blackout period so that will reduce the central bank chatter somewhat this week.”
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