US stock futures point higher this morning, with E-mini S&P 500 contracts up about 0.8% and Nasdaq-100 futures gaining roughly 0.9%, as investors digest fresh US inflation data and rising bond yields. Headline US CPI increased 0.4% month on month in August and core CPI rose 0.3%, keeping annual inflation at 3.4% and core at 2.4%. That keeps the cost of living above the Federal Reserve’s 2% goal and feeds talk of a possible rate hike, especially with the 10 year Treasury yield near 4.9%. At the same time, the Michigan consumer sentiment index sits at 47.8 and one year inflation expectations are 4.6%, which signals households feel squeezed and worried about future prices. The big question for investors is whether the Fed prioritises fighting inflation or supporting a weakening mood on Main Street, a choice that could matter most for rate sensitive areas like banks, real estate stocks and high growth technology shares.
With rate worries back in focus and bond yields pushing higher, many investors are hunting for pockets of resilience in 11 resilient stocks with low risk scores.
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With fresh US inflation data in hand, attention now shifts to upcoming company events that could reshape sector narratives.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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