Wall St futures steady with CPI data, Hormuz risks in focus

U.S. stock futures were little changed on Tuesday evening after Wall Street posted its second straight session of losses, as investors awaited consumer inflation data for clues on the Federal Reserve’s interest-rate path.

S&P 500 Futures inched 0.1% higher to 7,752.0 points, while Nasdaq 100 Futures rose 0.1% to 29,665.0 points by 21:08 ET (01:08 GMT). Dow Jones Futures traded flat at 53,868.0 points.

Traders await CPI data for Fed outlook clues

In the regular session, the S&P 500 fell 0.3%, the Nasdaq dropped 0.6%, and the Dow declined 0.3%.

Investors were turning their attention to Wednesday’s U.S. consumer price index report, which could influence expectations for the Fed’s next policy moves.

Economists expect headline CPI to rise 0.1% month-on-month in July after falling 0.4% in June, while annual inflation is expected at 3.4%, down from 3.5%.

Core CPI, which strips out food and energy, is forecast to increase 0.2% from the previous month.

The report will be closely watched after a weaker U.S. jobs market reduced expectations for a September Federal Reserve rate hike. A hotter-than-expected inflation reading could revive bets on tighter policy.

The inflation reading comes as markets remain near record highs, leaving investors particularly sensitive to any evidence that price pressures are proving more persistent than expected.

Hormuz tensions remain; oil extends climb

The geopolitical backdrop also weighed on sentiment. U.S.-Iran negotiations aimed at resolving the conflict and reopening the Strait of Hormuz hit fresh obstacles, with Tehran demanding concessions including the release of frozen Iranian assets and a U.S. withdrawal from regional conflicts.

President Donald Trump has instead called for Iran to pay reparations.

Brent crude rose for a sixth straight session on Wednesday, rebounding near $90 per barrel, as uncertainty over shipping through the strategic waterway persisted.

Fresh attacks on maritime routes further clouded hopes for a rapid de-escalation. Houthi rebels reported an attack on commercial shipping in the Bab el-Mandeb Strait that killed four cargo-ship crew members and two Yemeni rescuers, while the U.S. Navy disabled a Panama-flagged vessel near the Gulf of Oman.