Friday September 16th

16-09-2016

US futures lower after CPI; consumer sentiment eyed

U.S. stock index futures indicated a lower open on Friday as traders digested the release of key inflation data and looked ahead to next week's meeting of the U.S. Federal Reserve. Dow futures slipped about 60 points, while S&P and Nasdaq futures fell 7 points and 13 points, respectively. The U.S. Consumer Price Index rose 0.2 percent in August, more than the expected increase of 0.1 percent. Consumer sentiment is set to come out at 10:00 a.m. Markets will focus on what the data means for the Fed, but any action at its meeting next week has largely been written off. In oil markets, Brent crude traded at $45.72 a barrel on Friday, down 1.87 percent, while U.S. crude was around $43.01 a barrel, down 2.1 percent. In Europe, the pan-European Stoxx-600 index was 0.67 percent lower on Friday. In Asia  Japan's Nikkei closed 0.70 percent higher on Friday. Markets in China remained closed for a public holiday. Gold fell on Friday after the release of better-than-expected U.S. inflation data. Gold traded little changed earlier on the heels of disappointing U.S. economic data reduced the chances of an interest rate hike next week. The CME Group's FedWatch tool showed futures traders are now pricing in a 12 percent chance of a rate rise this month, down from 15 percent on Wednesday, after soft U.S. retail sales and manufacturing output data. That kept a lid on the dollar, which was little changed on the week on Friday, and underpinned gold after its 1 percent slide this week. Spot gold was 0.24 percent lower at $1,310.59 an ounce, still above a two-week low of $1,309.25 hit Thursday. U.S. gold futures for December delivery were down $4.20 at $1,313.80.