In the latest premarket activity, US benchmark equity indexes are on an upward trend as traders eagerly await the pivotal consumer price index (CPI) report. The Standard & Poor's 500 is showing a notable increase of 0.6%, while the Dow Jones Industrial Average has risen by 0.4%, and the Nasdaq has added 0.8% prior to the opening bell.
In contrast, the majority of Asian exchanges are experiencing a downward trend, whereas European markets are reflecting a positive movement as midday approaches on the continent. Scheduled for release at 8:30 am ET, the consumer price index report for February is highly anticipated. Economic forecasts suggest that consumer inflation has surged by 0.3% sequentially last month in the US, according to a consensus compiled by Bloomberg.
This CPI will be crucial for assessing the future trajectory of monetary policy and investor sentiment. On the economic calendar for Wednesday, the weekly mortgage applications report will be released at 7 am, followed by the weekly EIA petroleum inventories report slated for 10:30 am. These reports will provide additional insights into the state of the US economy. In premarket developments, shares of Intel have jumped by 7.9% following reports that Taiwan Semiconductor Manufacturing has initiated discussions with major semiconductor companies.
Involved firms include Nvidia, Advanced Micro Devices, and Broadcom, with plans for a joint venture aimed at managing the chipmaker's factories. This collaboration aligns with ongoing efforts to enhance semiconductor production and address global supply chain challenges. Additionally, shares of Casey's General Stores have increased by 2.5%, as the convenience store operator has reported fiscal third-quarter results that surpassed market estimates, highlighting the company's strong operational performance amidst the fluctuating economic landscape. Furthermore, several companies, including ABM Industries, VNET Group, ZIM Integrated Shipping Services, and Sprinklr, will be announcing their latest financial results before the market opens.
Meanwhile, heavyweights like Adobe, Crown Castle, UiPath, SentinelOne, and American Eagle Outfitters are set to release their earnings after the markets close, providing investors with fresh data to assess their strategies moving forward. In the broader market, Bitcoin has seen a decline of 0.8%, currently trading at $82,483.
Meanwhile, West Texas Intermediate crude oil has risen by 1%, reaching $66.91 per barrel. Yields on 10-year Treasuries have retreated by 0.4 basis points to 4.28%, while gold prices have dipped slightly to $2,920 an ounce. These movements are indicative of the interplay between various asset classes and the overarching economic context. As traders and investors navigate these developments, a keen eye on the upcoming CPI report and earnings announcements will be fundamental to making informed investment decisions..