Wall Street Likely To See Positive Start

Higher futures point to a fairly steady start on Wall Street Tuesday morning.

The Dow futures are gaining 0.73 percent, the S&P futures are up nearly 1 percent, and the Nasdaq futures are climbing 0.8 percent.

Inflation data and the developments on the banking sector front are likely to set the trend for stocks.

Data from the Labor Department showed U.S. consumer prices rose 0.4 percent in February, following a 0.5 percent increase in the previous month.

Core prices climbed 0.5 percent in February, from 0.4 percent in January, the data showed.

The annual inflation rate hit 6 percent in February, slowing for an eighth straight month.

Concerns over the fallout of the collapse of Silicon Valley Bank rendered the mood quite bearish at the start.

U.S. stocks recovered after an early setback on Monday, but still ended on a mixed note, although shares from the technology space outperformed, spending much of the day’s session in positive territory.

Hopes that the Fed will pause its tightening cycle due to the debacle in the banking sector contributed as well to the market’s recovery.

The Dow, which plunged to 31,624.87 in early trades, ended with a loss of 90.50 points or 0.28 percent at 31,819.14. The S&P 500 ended 5.83 points or 0.15% lower at 3,855.76, recovering from 3,808.86. The Nasdaq ended higher by 49.96 points or 0.45 percent at 11,188.84, more than 200 points off the day’s low of 10,982.80.

Asian stocks tumbled on Tuesday as worries persisted about the fallout from the Silicon Valley Bank (SVB) collapse and investors awaited key U.S. inflation data later in the day for clues on the path forward for U.S. monetary tightening.

European stocks have moved higher after a volatile start, with traders indulging in bargain hunting amid expectations for a pause in U.S. rate hikes following the collapse of Silicon Valley Bank and Signature Bank.

In commodities trading, West Texas Intermediate Crude oil futures are down $1.33 or 1.79 percent at $73.46 a barrel. Gold futures are down $4.70 or about 0.25 percent at $1,911.80 an ounce.

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