FX.co ★ S&P and Nasdaq Futures Slightly Extend Gains After CPI

Futures for the S&P 500 and Nasdaq 100 saw moderate increases on Tuesday, with respective upticks of 0.4% and 0.7%, while Dow Jones futures remained relatively stable. This movement came as the latest Consumer Price Index (CPI) figures bolstered expectations that the Federal Reserve might reduce interest rates this year. Headline inflation met the anticipated figures both annually and monthly. However, core inflation was below projections for both periods, indicating that fundamental price pressures, notably those linked to newly introduced tariffs, are currently under control. Notably, Nvidia experienced a more than 4% surge in premarket trading following their announcement to restart sales of its high-demand H20 AI chip to China. As the earnings season commenced, JPMorgan Chase's shares dipped nearly 0.8% after reporting a 17% drop in second-quarter profits. Wells Fargo also endured a 3.7% decline after adjusting its forecast for full-year net interest income downward. In contrast, Citigroup’s shares rose by 1%, buoyed by an 8% year-over-year increase in revenue.