The Market News Today: Durable Goods, Consumer Confidence Eyed

Data Watch: Durable Goods and Confidence Report to Guide Fed

Today’s releases of February’s durable goods orders and the March consumer confidence index are pivotal for gauging the Federal Reserve’s policy path. While durable goods orders are expected to show a rebound (+1.2% MoM), the slight uptick in consumer confidence (106.9) reflects modest gains in public sentiment, potentially influenced by easing inflation. These reports could signal the direction of upcoming Fed decisions, balancing economic growth against inflationary pressures.

Premarket Boost: U.S. Stock Futures Climb in Early Trading, Aiming for Monthly Gains

U.S. stock futures are currently rising Tuesday morning, following a minor pullback in the major averages after their recent rallies. Dow futures are climbing by 0.11%, while S&P 500 and Nasdaq-100 futures are gaining 0.26% and 0.41%, respectively. Despite Monday’s slight downturn, the indexes are on track for their fifth straight winning month, with notable advances in March. Amid concerns of an overbought market, investors are staying optimistic, encouraged by the Fed’s supportive stance and the potential for a soft economic landing.

Bitcoin Surges Above $70,000 Despite ETF Outflows, Market Remains Bullish

Bitcoin has soared past $70,000, unaffected by recent outflows from U.S. exchange-traded funds (ETFs). The cryptocurrency climbed 7.1% to a week-high of $70,816, with other digital assets like Ether, Solana, and Dogecoin also registering significant gains. Despite nearly $900 million exiting ETFs, including those from Grayscale, BlackRock, and Fidelity, the market exhibits strong buying interest. This bullish sentiment continues to fuel the rally, even as ETF demand fluctuates and related stocks like MicroStrategy and Coinbase see notable increases.

Gold Steady as Market Awaits U.S. Inflation Data; Oil Gains on Supply Concerns

Gold prices remained in a narrow range Tuesday, with investors’ attention on the upcoming U.S. inflation data, potentially influencing the Federal Reserve’s rate cut decision. The market is in a consolidation phase, awaiting the PCE Index for cues on disinflation, which could boost gold’s appeal. Meanwhile, oil prices are set for a second consecutive day of gains, spurred by expectations of reduced supply due to Russian production cuts and geopolitical tensions in the Middle East, as noted by ANZ analysts.

Dollar Weakens Amid Market Focus on U.S. Inflation Data and Global Rate Outlook

The U.S. dollar is drifting lower Tuesday, impacted by profit-taking and a stronger yen, as Japanese officials defended their currency. With limited economic data, attention shifts to Friday’s U.S. core PCE price index release, expected to remain at 2.8% annually. This inflation measure will be crucial in shaping the Federal Reserve’s interest rate strategy. The global rate landscape, influenced by recent central bank decisions, has also affected the dollar, balancing the Fed’s dovish stance with broader economic growth expectations.