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2025-09-09 16:13
Stock index futures were higher on Tuesday, a day after Nasdaq notched up a record high, as investors continue to focus on rate cuts and upcoming inflation reports.
S&P 500 futures (SPX) +0.2%, Nasdaq 100 futures (US100:IND) +0.1%, and Dow futures (INDU) +0.3%.
The 10-year Treasury yield (US10Y) rose 3 basis points to 4.08%. The 2-year yield (US2Y) fell 2 basis points to 3.49%.
U.S. stocks closed higher on Monday as investors awaited two key inflation reports slated to come later in the week, and the Nasdaq Composite was propelled to close at a new record with big tech rallying.
"For equities, the rate-cutting narrative outweighed fears about an economic slowdown. So that led to a decent advance on both sides of the Atlantic," Deutsche Bank's Jim Reid said.
Traders are also awaiting the wholesale and retail inflation reports slated to land Wednesday and Thursday, respectively.
The economic calendar for the day is on the lighter side, with mainly the August NFIB Small Business Optimism Index. The index is expected to be almost flat at 100.5 from 100.3 in July.
There is also labor data to keep an eye on.
"This narrative of labor market weakness could well get further support today, as the Bureau of Labor Statistics are releasing their preliminary benchmark revision for payrolls at 10:00 Eastern Time," Reid said.
The U.S. offers benchmark revisions to employment data—with plunging survey response rates, the real-time data is less and less rooted in reality. Expectations are for some notable negative revisions, UBS' Paul Donovan said.
"Fewer people employed in the past should not change the Federal Reserve’s outlook (the economic big picture, including inflation, is unchanged). However, if the revisions signal worsening employment in the immediate past, that negative momentum should impact Fed policy," Donovan added.