US stocks to open lower with oil and higher dollar
US stocks are expected to open lower on Monday, giving back some of Friday’s gains ahead of all-time highs for the Dow Jones and S&P. US stocks have been especially sensitive to moves in the US dollar and oil prices so with both moving lower on Monday, US stocks look to follow suit.
There is a multitude of important US economic reports this week, not least the consumer price index released on Tuesday that will add to or detract from the Fed’s recent lower revision to its inflation outlook.
On Monday the focus will be on housing data with existing home sales for February expected to pick up to 4.90M from the 4.82M seen in January. Building permits reported last week were notably poor with many pointing to the colder winter weather conditions in the North East as a reason for the decline. If the lower rate of growth in building permits follows through to buyer behaviour in new homes sales, then this is a further concern over the health of the US consumer in the face of rising employment.
Cablevision shares could be moving again on Monday as investors look for any comments from the cable TV company over the possibility of it being a takeover target for Charter Communications.
Futures suggest the:
S&P 500 will open 5 points lower at 2,103 with the
Dow Jones expected to open 44 points lower at 18,083 and the
Nasdaq 100 8 points lower at 4,450.
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