Stock market today: Stocks down with key inflation report on deck

Check back for updates throughout the trading day

U.S. stock futures fell in early trade on Wednesday as Treasury yields and the dollar extended their recent retreat as investors braced for a crucial August inflation report ahead of the open.

Stocks ended mixed in Tuesday’s mixed session, with tech stocks contributing to modest afternoon gains in the S&P 500 and Nasdaq after a sharp drop in Treasury yields and a drop in global oil prices .

The moves reflected growing concern about the fate of the U.S. economy, which has avoided recession despite one of the most aggressive Federal Reserve rate hike cycles on record heading into the final months of the year and beyond.

Actions on Wednesday will likely focus on the August CPI inflation report, which is expected to show a notable drop in the headline reading, with core prices, which strip out food and energy costs, holding steady at 3.2%.

The report, the last major data release before the Fed’s policy meeting next week, is likely to clarify the market’s bets on near-term rate cuts.

The Commerce Department will release details of its August inflation report on Wednesday, the last major data point before the Fed’s policy meeting next week.

ELIJAH NEWS/Getty Images

Investors are also likely to adjust their risk appetite based on last night’s presidential debate, in which Vice President Kamala Harris performed strongly against her rival, former President Donald Trump, in a sharp contest that touched off the economy. foreign policy and domestic agenda of both candidates.

Related: Bond Market Sends Amazing Signal for Stocks

Heading into early trading, S&P 500-linked futures suggest a 17-point drop, with those linked to the Dow Jones Industrial Average pricing in a pullback of around 162 points.

Meanwhile, the tech-focused Nasdaq is named 60 points lower with Nvidia (NVDA) adze (TSLA) and Apple (AAPL) all trading in the red.

Other stocks on the move include Trump Media & Technology Group (DJT) owner of former President Trump’s website Truth Social, which fell 14.9% after last night’s debate.

Bank of America (ferry) shares extended their recent slide, falling another 0.97 percent in premarket, following another sell-off by billionaire investor Warren Buffett, who has dumped more than 7.1 billion shares of the lender since mid-July.

JPMorgan (JPM) Shares also traded in the red, down a further 0.5% in premarket trading, following yesterday’s 5.2% drop linked to the near-term outlook presented at a banking event yesterday in New York.

In the bond market, benchmark 2-year yields hit two-year lows in overnight trading and last traded at 3.561% ahead of today’s inflation report.

Meanwhile, benchmark 10-year notes fell to 3.607 percent ahead of an auction of $39 billion of new notes later in the session.

More Wall Street analysts:

• Analyst says Intel would have to divest a key business to survive
• Analysts are adjusting their price target on Bookings.com shares in the travel market
• Analysts are placing bets on shares of the Las Vegas strip casino

In overseas markets, Europe’s Stoxx 600 was marked 0.12% higher in early trade in Frankfurt ahead of tomorrow’s European Central Bank rate decision, and the FTSE 100 fell 0.05% to London.

Overnight in Asia, MSCI’s regional benchmark ex-Japan slipped 0.29 percent at the close, while the Nikkei 225 closed 1.49 percent lower in Tokyo.

Related: Veteran fund manager sees world of pain coming for stocks