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The
data, due at 8:30 am ET, is expected to show the consumer price
index (CPI) increased 0.4% last month after gaining 0.3% in
January.
In the 12 months through February, the CPI is expected to have
increased 3.1%, according to a consensus analysts' estimate in
an LSEG poll.
Data showing signs of a robust economy slowed the stock market's
rally last month, as traders pushed back expectations on the
timing of the first Fed rate cut to June from March.
"January's lumpy CPI report has ensured that a lot of weight
rests uncomfortably on this week's report with regard to when
the Fed will begin cutting base rates," said Will Hobbs, head of
UK multi-asset wealth, Barclays Private Bank & Wealth
Management.
"The important point for investors is not when they start but
how deep they and other central banks go. Will we return to the
basement levels seen last economic cycle or is a new normal in
store?"
Traders are seeing a 72% chance that the first rate cut hits in
June, according to the CME FedWatch Tool.
At 05:01 a.m. ET, Dow e-minis were down 11 points, or 0.03%, S&P
500 e-minis were up 10.5 points, or 0.2%, and Nasdaq 100 e-minis
rose 68.5 points, or 0.38%.
Megacap growth firms advanced in premarket trading, led by AI
darling Nvidia, up 1.5%.
Oracle jumped 13.6% after the database giant beat quarterly
profit estimates. The company also said it is set to make a
joint announcement with Nvidia.
Other chipmakers such as Intel and Advanced Micro Devices, that
have struggled in the last few sessions after their fast-paced
rally this year, added 0.3% and 0.7%, respectively.
Boeing shed 1.2% after a report said an audit by the Federal
Aviation Administration's (FAA) found dozens of issues in 737
MAX production.
New York Community Bancorp climbed 3.4% after the lender said it
had closed the $1 billion capital infusion deal that was agreed
last week with an investor group and plans to submit
one-for-three reverse stock split of its common stock to
shareholders.
(Reporting by Bansari Mayur Kamdar in Bengaluru, additional
reporting by Shristi Achar A; Editing by Rashmi Aich)
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