© Reuters
By Peter Nurse
Investing.com — U.S. stocks are seen opening in a subdued manner Tuesday, after the negative start to the week on uncertainty whether the Federal Reserve will slow the pace of its interest rate hikes.
At 07:00 ET (12:00 GMT), the contract was largely flat, traded 3 points, or 0.1% higher, and climbed 30 points, or 0.2%.
The major averages closed sharply lower Monday after the release of stronger than expected data, following Friday’s healthy , raised the possibility that the will need to keep aggressively hiking interest rates to have the intended goal of bringing down inflation.
The blue chip dropped almost 500 points, or 1.4%, while the broad-based fell 1.8%, and the tech-heavy ended 1.9% lower.
The meets next week for its last meeting of the year. Investors are still generally expecting a half-percentage point increase, a step back from the 75 basis point raises at its last four meetings, but concerns are growing that another substantial hike may be in order.
The economic data slate in the U.S. Tuesday is largely empty, with only October and the latest .
Friday’s November release will be of more importance, with the headline figure expected to rise 7.2% on a year-over-year basis, slowing slightly after an 8% increase the previous month.
In the corporate sector, quarterly earnings are expected from the likes of AutoZone (NYSE:), Toll Brothers (NYSE:), and Signet Jewelers (NYSE:) before the open, while Smith & Wesson (NASDAQ:) and Stitch Fix (NASDAQ:) are due after the close.
Additionally, Facebook parent Meta Platforms (NASDAQ:) on Monday threatened to remove news from its platform if the U.S. Congress passes a proposal aimed at making it easier for news organizations to negotiate collectively with companies like Alphabet’s Google (NASDAQ:) and Facebook.
Crude oil prices fell Tuesday, continuing the previous session’s sharp losses as a stronger on the back of Monday’s strong services sector data weighed.
Additionally, Russia’s January-November oil output rose 2.2% from a year earlier, the Interfax news agency said on Tuesday, citing Deputy Prime Minister Alexander Novak, ahead of the EU import ban and Group of Seven’s $60-a-barrel price cap on seaborne Russian oil coming into force.
The releases its weekly estimate of U.S. crude inventories later in the session, while the Energy Information Administration publishes its .
By 04:00 ET, futures traded 1.4% lower at $75.89 a barrel, while the contract fell 1.2% to $82.67.
Additionally, rose 0.4% to $1,788.55/oz, while traded 0.2% higher to 1.0512.
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