US stock futures rose on Friday as investors await an inflation reading that is crucial to Federal Reserve policy decisions. The S&P 500 and Nasdaq 100 futures were both up about 0.4%, signaling a positive end to a turbulent week. Despite concerns about a potential pullback, the stock market is on track for a strong performance in the first half of the year.
Investors are closely watching President Joe Biden’s lackluster debate performance against Donald Trump, with Trump’s promised policies seen as favorable for stocks. The release of May’s Personal Consumption Expenditures price index, the Fed’s preferred measure of inflation, is a key event on Friday, with expectations of a cooling that could prompt interest rate cuts. Companies like Nike and Walgreens are facing pressure as they project sales declines, indicating potential challenges ahead for consumer resilience.
As the market navigates economic uncertainties and political risks, investors are bracing for potential impacts on stock valuations and consumer spending. The aftermath of the Biden-Trump debate, coupled with key economic data releases, will likely shape market sentiment in the coming days. The focus remains on maintaining a balance between optimism for a strong market performance and caution regarding potential challenges and headwinds.