Shafaqna English– Tuesday(8 Sep 2026) saw U.S. equity futures drift lower as escalating Middle East hostilities drove oil prices to multi-week highs, adding to market unease ahead of this week’s crucial inflation reports.
The pullback extends a volatile stretch for Wall Street, where investors have been forced to reassess their rate-hike expectations following hawkish signals from Fed Governor Christopher Waller and an unexpectedly robust jobs report that challenged the narrative of slowing economic momentum.
With the Labor Day holiday shortening the trading week, the focus shifts squarely to the PPI on Thursday and CPI on Friday, with particular attention to how these numbers might influence Fed Chair Kevin Warsh’s inflation-fighting stance.
Currently, FedWatch data shows a 58.4% implied probability of a rate increase at the upcoming meeting. However, Pantheon’s Samuel Tombs offered a counterpoint, arguing that inflation is likely to moderate sufficiently to prevent further tightening.
Futures markets reflected the broader anxiety, with Dow futures losing 0.89%, S&P futures falling 0.39%, and Nasdaq futures declining 0.18% by early morning trading.
Source: Reuters