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The benchmark S&P 500 came under pressure on Tuesday after data
showed U.S. consumer prices accelerated in January, boosting
expectations that the Fed will raise the policy rate at least
twice more this year to the 5%-5.25% range.
The consumer price index rose 6.4% last month from a year
earlier, far above the Fed's 2% target but a step down from last
year's blistering pace.
The focus, now, will shift to retail sales data, due at 8:30
a.m. ET, for clues on consumer spending amid worries of slowing
economic growth and high inflation.
U.S. retail sales are expected to have risen 1.8% in January, as
per a Reuters poll, after falling more than anticipated in
December.
At 7:18 a.m. ET, Dow e-minis were down 36 points, or 0.11%, S&P
500 e-minis were down 6.75 points, or 0.16%, and Nasdaq 100
e-minis were down 19.75 points, or 0.16%.
U.S.-listed shares of Taiwan Semiconductor Manufacturing Co (TSMC)
fell 5.7% in premarket trading after Warren Buffett's Berkshire
Hathaway Inc slashed its stake in the chipmaker.
Shares of Airbnb Inc and Tripadvisor Inc jumped more than 9%
each after the companies posted forecast-beating results due to
strong demand for travel.
Kraft Heinz rose 1.3% after the ketchup maker beat quarterly
sales estimates, helped by demand for its packaged meals and
condiments, despite high prices.
Biogen Inc added 1.4% after it beat analysts' estimates for
quarterly results on strong demand for its spinal muscular
atrophy drug, Spinraza.
Nearly 70% of the S&P 500 firms that have reported results so
far, have topped profit expectations, as per Refinitiv as of
Friday.
However, analysts estimate fourth-quarter earnings fell 2.8%
from a year earlier.
(Reporting by Johann M Cherian in Bengaluru; Editing by Savio
D'Souza)
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