US futures hold steady for Fed speakers, key inflation print

U.S. stock futures were flat on Monday after a winning week on Wall Street, as investors looked ahead to Federal Reserve speakers and a key inflation reading for clues about the chances of another big rate cut.

Dow Jones Industrial Average (YM=F) futures were little changed, above Friday’s record close for the blue-chip index. S&P 500 (ES=F) futures rose about 0.1%, while Nasdaq 100 (NQ=F) rose 0.2%.

The market is dealing with concerns about the health of the US economy that have lingered after the Fed’s bold pivot to cut interest rates last week. The big question now is whether upcoming data released this week will support Fed Chairman Jerome Powell’s assertion that conditions remain strong.

Read more: What Fed rate cuts mean for bank accounts, CDs, loans and credit cards

Much will depend on Friday’s PCE reading — the Fed’s preferred inflation gauge — and Thursday’s second-quarter GDP print. Experts believe that falling inflation, and not a growing risk of recession, will give policymakers the green light for another 0.5% cut this year.

Before then, investors will hope to glean more policy information from speeches by a host of Fed officials, starting with Austan Goolsbee and Raphael Bostic on Monday. Given the rare lack of unanimity in the latest decision, remarks from Powell and Fed Governor Michelle Bowman later in the week are likely to be closely watched.

On the corporate front, shares of Intel ( INTC ) rose after Apollo Global Management offered to make a billion-dollar investment in the struggling chipmaker — a vote of confidence in its turnaround strategy. Intel shares rose late last week on a report Qualcomm ( QCOM ) was exploring a takeover.