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The major U.S. index futures are currently pointing to a roughly flat open on Monday, with stocks likely to show a lack of direction in early trading following the rebound seen in the previous session.<\/p>\n
Traders may be reluctant to make significant moves ahead of the release of key inflation data in the coming days that could have a significant impact on the outlook for interest rates.<\/p>\n
The Labor Department is scheduled to release its report on consumer price inflation on Wednesday, with the annual rate of consumer price growth expected to accelerate to 3.6 percent in September from 3.4 percent in August.<\/p>\n
Ahead of the release of the data, CME Group’s FedWatch Tool is currently indicating an 80.6 percent chance the Fed will leave interest rates unchanged after last month’s quarter point rate hike.<\/p>\n
Earnings news is also likely to attract attention, as financial giants Citigroup (C), JPMorgan Chase (JPM), Wells Fargo (WFC) and Bank of America (BAC) are among the companies due to report their quarterly results this week.<\/p>\n
The strength of the companies’ quarterly results as well as their guidance could have a significant impact on the outlook for the markets<\/span> as earnings season picks up steam.<\/p>\n After coming under pressure over the course of Thursday’s session, stocks showed a notable move back to the upside during trading on Friday. The major averages all finished the day firmly in positive territory.<\/p>\n The Dow advanced 423.31 points or 0.8 percent to 51,654.95, the Nasdaq climbed 172.83 points or 0.6 percent to 27,366.17 and the S&P 500 rose 46.18 points or 0.6 percent to 7,811.54.<\/p>\n For the week, the S&P 500 shot up by 1.2 percent, the Dow jumped by 0.9 percent and the Nasdaq increased by 0.6 percent.<\/p>\n The rebound on Wall Street came as traders remain optimistic about the outlook for the artificial intelligence trade even after reports OpenAI’s annualized revenue came in below estimates.<\/p>\n A report from CNBC said a person familiar with the matter said the higher revenue figure that was widely reported late last month included gross revenue from OpenAI’s partners.<\/p>\n Exceptionally strong corporate earnings expectations may also have contributed to the renewed buying interest ahead of the release of key earnings news this week.<\/p>\n Gold stocks moved sharply higher along with the price of the precious metal, driving the NYSE Arca Gold Bugs Index up by 2.9 percent. The index continued to regain ground after hitting a two-month closing low on Wednesday.<\/p>\n Software and networking stocks also saw substantial strength, with the Dow Jones U.S. Software Index and the NYSE Arca Networking Index both surging by 2.7 percent.<\/p>\n Biotechnology, healthcare and commercial real estate stocks also showed strong moves to the upside on the day, while substantial weakness was visible among telecommunications stocks.<\/p>\n The NYSE Arca North American Telecom Index plunged by 4 percent after SpaceX (SPCX) announced an agreement to acquire a nationwide low-band spectrum license portfolio, raising concerns about increase competition.<\/p>\n Commodity, Currency Markets<\/b><\/p>\n Crude oil futures are jumping $1.54 to $93.39 a barrel after rising $0.36 to $91.85 a barrel last Friday. Meanwhile, after climbing $59.30 to $4,216.30 an ounce in the previous session, gold futures are falling $29.40 to $4,186.90 an ounce.<\/p>\n On the currency front, the U.S. dollar is trading at 158.63 yen versus the 158.31 yen it fetched at the close of New York trading on Friday. Against the euro, the dollar is trading at $1.1177 compared to last Friday’s $1.1201.<\/p>\n Asia<\/b><\/p>\n Asian stocks turned in a mixed performance on Monday, with South Korean stocks falling sharply due to worsening investor sentiment in the semiconductor sector on growing concerns over the AI industry in the U.S.<\/p>\n Markets elsewhere finished mostly higher, with a holiday in Japan keeping regional trading volumes light.<\/p>\n The U.S. dollar held steady near its strongest level in a year and a half ahead of the release of reports on U.S. consumer and producer price inflation this week, which could impact expectations for the Federal Reserve’s next monetary policy meeting later this month.<\/p>\n CME Group’s FedWatch Tool currently indicates an 82.8 percent chance the Fed will leave interest rates unchanged after last month’s quarter point rate hike.<\/p>\n However, the central bank is still widely expected to raise rates by another quarter point at its December meeting.<\/p>\n Gold edged down slightly to trade below $4,200 an ounce after rising to a one-week high on Friday.<\/p>\n Brent crude futures were little changed above $104 a barrel, recouping some early losses in the wake of fresh attacks on Saudi Arabia’s aviation infrastructure by Iran-backed Houthi militants and a drone strike on a tanker near the Sohar anchorage off Oman.<\/p>\n After the deadly airport strike, U.S. President Trump said he is considering joining Saudi Arabia in its retaliation against Houthis in Yemen.<\/p>\n China’s Shanghai Composite Index dropped 0.4 percent to 3,797.24 despite China’s top securities regulator signaling fresh support for the domestic A-share market at a meeting in Beijing on Saturday.<\/p>\n Hong Kong’s Hang Seng Index edged up 0.3 percent to 24,271.20, led by technology<\/span> names such as Alibaba Group Holding and NetEase.<\/p>\n Seoul stocks ended lower for a fourth consecutive session due to persistent selling by foreign investors amid renewed concerns about an artificial intelligence (AI) bubble.<\/p>\n The Kospi Index plummeted 3.7 percent to 6,384.24, marking the biggest single-day percentage decline since September 2.<\/p>\n Samsung Electronics slumped 4.4 percent and SK Hynix lost 4.5 percent after Chinese memory chipmaker CXMT reported “key progress” on a next-generation DRAM architecture.<\/p>\n Australian markets rose notably, with banks and miners leading gains ahead of the start of the third-quarter U.S. earnings season.<\/p>\n Investor sentiment was also boosted after U.S. President Donald Trump announced a diesel deal with Russia and claimed that Russia and Ukraine agreed to an “energy ceasefire” and will halt attacks on each other’s energy facilities.<\/p>\n The benchmark S&P\/ASX 200 Index climbed 0.8 percent to 8,783.20 while the broader All Ordinaries Index settled 0.7 percent higher at 8,937.<\/p>\n Cobre soared 4.8 percent after announcing it has exercised its Control Call Option over the Sierra Atacama Copper Project. Telstra fell 2.5 percent, extending losses from last week ahead of its AGM on Tuesday.<\/p>\n Across the Tasman, New Zealand’s benchmark S&P\/NZX-50 Index rose 0.6 percent to 13,827.62, extending gains for a third consecutive session and reaching its highest level since September 30.<\/p>\n Europe<\/b><\/p>\n European stocks are mostly higher on Monday after having recovered from four-month lows in the previous session on U.S. President Trump’s remarks dismissing speculation of pre-midterm military action against Iran.<\/p>\n Lower oil prices on hopes of a Russia-Ukraine energy ceasefire helped underpin investor sentiment ahead of key U.S. earnings as well as the release of reports on U.S. consumer and producer price inflation later in the week.<\/p>\n Eurozone government bond yields eased and oil prices ticked lower after Trump announced a deal to obtain diesel from Russia to lower fuel prices and blamed Ukraine for the war and energy crisis in a sharp reversal of U.S. policy ahead of the midterm elections.<\/p>\n While the French CAC 40 Index is up by 0.5 percent, the U.K.’s FTSE 100 Index and the German DAX Index are both up by 0.9 percent.<\/p>\n Banks are broadly higher, with Commerzbank, Deutsche Bank, BNP Paribas and Lloyds Banking Group rising 1-2 percent.<\/p>\n German wind turbine manufacturer Nordex Group has also surged after reporting a 29.5 percent increase in third quarter orders.<\/p>\n Stellantis has also jumped after it announced a strategic shift towards affordable electric vehicles at the Paris Motor Show.<\/p>\n Meanwhile, shares of Hays have plunged after the British recruiter reported a 3 percent decrease in first quarter like-for-like net fees.<\/p>\n U.S. Economic News<\/b><\/p>\n Cleveland Federal Reserve President Beth Hammack is scheduled to speak on the outlook and monetary policy before the National Association for Business Economics 2026 Annual Meeting at 12:50 pm ET. <\/p>\n<\/p>\n<\/div>\n