Hope for Price Moderation: US Stock Futures Stabilize Ahead of PCE Data

There is tempered optimism on the US stock markets: Investors are eagerly awaiting the upcoming PCE Price Index for August, the Federal Reserve's preferred inflation indicator. Against this backdrop, the futures for the Dow Jones Industrial Average are slightly above the zero line, while the futures for the S&P 500 and the tech-heavy Nasdaq 100 were able to gain slightly by 0.1%. However, in the past week, the stock markets recorded losses for the third consecutive time. Unexpectedly strong GDP growth figures and decreasing unemployment claims created uncertainties among investors who had hoped for further interest rate cuts. Additionally, questions about the sustainability of the AI boom and movements in the tech sector contributed to market caution. President Trump also approved a $14 billion TikTok deal, which is still awaiting China's approval. There were also tensions within the Fed itself: Governor Lisa Cook appealed to the Supreme Court to reject Trump's demand for her dismissal, as it could cause chaos in the markets. The mixed economic signals and signs of discord within the Fed increase the tension ahead of the release of the PCE report. Investors are hoping for clarity on whether inflation has not risen so much that it could jeopardize the Fed's planned interest rate cuts this year. The report is expected today and could signal a relaxation of price pressures.