US stock futures wobbled in premarket trading on Friday as investors braced for inflation data that could solidify, or undercut, rising bets that the Federal Reserve will hike interest rates next week.
Futures on the Dow Jones Industrial Average (YM=F) rose 0.3%, while those on the S&P 500 (ES=F) also gained 0.3%. Nasdaq-100 (NQ=F) contracts edged higher 0.3% after the major indexes extended their losing streak to four days. The three major indexes were on pace to post weekly declines.
Oracle (ORCL) shares popped over 5% in premarket trading on strong cloud computing growth in the latest quarter.
Investors are now turning their attention to the Consumer Price Index, the last piece of inflation data before Federal Reserve policymakers convene next week. Economists expect that consumer prices rose 3.4% in August, at the same rate as the previous month.
While inflation has trended lower since May, it remains well above the Fed's 2% goal. The recent spike in oil prices has only fueled inflation concerns after Brent crude prices (BZ=F) topped $106 per barrel and diesel reached its highest price ever, at $6 per gallon.
The increase in oil prices and Treasury yields has prompted traders to ramp up their bets that the Fed will raise interest rates this month to 72%, up from a 50-50 tossup last week.
Prime Minister Mark Carney said Thursday that he had spoken to US President Donald Trump "in recent days" and Ottawa remains ready to reach a "fair" trade deal with Washington, despite escalating economic tensions.
The once ironclad trading partnership between the North American neighbors has sustained unprecedented blows since Trump returned to office last year.
Carney cut off trade talks last month, saying the US offer was unacceptable, triggering angry responses from Trump, including punishing new tariffs and prompting Canadian retaliation.
But Carney said the pair remain in touch and that "Canada is always ready to strike a fair deal."
"We believe there is a mutually beneficial deal for Canada and the United States," the prime minister told reporters in the western city of Calgary, where he was hosting Ukrainian leader Volodymyr Zelensky.