US stock futures ticked higher on Wednesday as investors digested another month of sticky inflation data that met economists expectations and likely point to a Federal Reserve interest rate cut next week.
Futures on the Dow Jones Industrial Average (YM=F) were up about 0.1% while the S&P 500 futures (ES=F) were up nearly 0.3%. Contracts on the tech-heavy Nasdaq 100 (NQ=F) added 0.4%.
New inflation data out Wednesday showed consumer prices rose as forecast in November, keeping the Federal Reserve on track to lower interest rates again in December.
The latest data from the Bureau of Labor Statistics showed that the Consumer Price Index (CPI) increased 2.7% over the prior year in November, a slight uptick from October’s 2.6% annual gain in prices. The yearly increase matched economist expectations. On a “core” basis, which strips out the more volatile costs of food and gas, prices in November climbed 0.3% over the prior month, matching October, and 3.3% over last year for the fourth consecutive month.
Earlier on Wednesday, a report that China is considering devaluing its currency sent ripples through global stock markets and boosted the dollar (DX=F). The potential move is seen as a response to higher tariffs promised by President-elect Donald Trump, as a weaker yuan (CNHUSD=X) could make Chinese exports cheaper.
On the corporate front, Macy’s (M) stock sank 8% in pre-market trading after the department store chain lowered its full-year profit guidance. The retailer released its third-quarter results after delaying the report while it investigated an employee hiding up to $154 million in expenses.
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