From the Wall Street Journal’s “U.S. Stock Futures Slip to Start the Week” posted early Monday:
U.S. stock futures edged down Monday, signaling muted losses for major indexes at the opening bell after concerns about inflation whipsawed markets last week…
With earnings season drawing to a close, investors remain focused on whether a recent jump in inflation will blow over or become entrenched. A protracted spell of faster growth in consumer prices could prompt the Federal Reserve to tighten monetary policy, potentially hurting stocks and other assets that have gained from low interest rates.
Those concerns last week led the S&P 500 to post its biggest decline since late February, even after staging a rebound on Friday. Highflying tech stocks have been particularly vulnerable to worries about inflation: The Nasdaq Composite has fallen for four straight weeks, its longest losing streak since August 2019.
“We see this as transitory, but you never know: there is stuff in here that could take a bit longer,” said Lars Skovgaard Andersen, investment strategist at Danske Bank Wealth Management. “There will be some volatility in markets still.”
My take: Slow start to the week, slow start to to the year. Me, I’m halfway back from Cleveland. We’ll be on the Erie Canal Bike Trail near Syracuse for a stretch this morning, then headed home.