New York City – Investors were cautious on Wednesday as U.S. stock futures dipped while awaiting the latest consumer price index data to gauge the level of inflation. The Dow Jones Industrial Average futures fell by 0.22%, the S&P 500 futures were down 0.21%, and the Nasdaq 100 futures dipped by 0.31%.

On Tuesday, the market saw a decline as major averages took a breather from the post-election rally. The Dow fell by 0.9%, the S&P 500 declined by 0.3%, and the Nasdaq Composite inched down by 0.1%. This slight pullback may be attributed to profit-taking following significant gains post-election and strategic positioning ahead of upcoming economic reports.

Financial experts are eagerly anticipating the release of October’s CPI numbers on Wednesday morning to assess the increase in costs of goods and services. Economists predict a 0.2% increase for the month, potentially pushing the 12-month rate up to 2.6%. This data is crucial in determining the Federal Reserve’s decisions regarding interest rates.

In addition to the CPI report, other economic data releases scheduled for the week include data on producer prices and retail sales. These reports will provide further insights into the strength of the economy and could impact market sentiments.

According to Scott Helfstein, head of investment at Global X ETFs, this week’s economic data releases could signal the continued strength of the economy. However, the markets may show less sensitivity to data this week following the recent election and the recent Federal Reserve rate cut.

The market is poised for potential fluctuations in response to the forthcoming economic reports, offering investors valuable insights into the current economic landscape. Overall, market participants are closely monitoring these developments to make informed decisions in the ever-changing financial environment.