[Platinum Insights] (8.10.23)

Good morning. 

Stock futures are up this morning as market participants geared up for the hotly anticipated U.S. consumer inflation report for cues on the Federal Reserve’s future actions. 

Today, all eyes are focused on the U.S. consumer inflation report in a couple of hours. Economists, on average, forecast that July U.S. CPI will come in at +0.2% m/m and +3.3% y/y, compared to the previous values of +0.2% m/m and +3.0% y/y. U.S. Initial Jobless Claims data will be reported today as well. Economists estimate this figure to be 230K, compared to last week’s value of 227K. 

The major averages extended their declines on Wednesday as inflation worries took hold of Wall Street. The indices opened higher, but buying interest waned immediately, dragging them into negative territory. Consumer discretionary, technology, and communication services stocks came under intense selling pressure, while gains in the energy space helped to mitigate some of the weaknesses. 

On the corporate front, US-traded shares of Alibaba surged almost 5% in premarket trading after the company’s quarterly results topped forecasts, with revenue rising the most since Q3 2021. Disney stocks also gained 1.6% in premarket hours although the company posted mixed results and announced an upcoming price hike for ad-free Disney+ subscriptions. Shares of Wynn Resorts added nearly 2% after beating earnings estimates. 

WTI crude futures held above $84 per barrel. Gold held below $1,930 an ounce while the yield on the US 10-year Treasury note steadied around 4.01%.

Have a great day!