The S&P 500 faces a pivotal week as corporate earnings and US consumer inflation data serve as the primary market catalysts. Geopolitical tensions, specifically the US-Iran conflict, are currently weighing on market outlooks for the coming period. Additionally, the consumer price index is expected to show a modest increase while remaining above the Federal Reserve's 2% target.
US indices reached fresh record highs after inflation data came in lower than anticipated, shifting market bets toward a rate pause next month.
Read the full storyUS headline CPI matched expectations at 3.4%, providing enough support for a late-session rebound in the US Dollar.
In a move reflecting steady price pressures, official data from the US Bureau of Labor Statistics showed the Consumer Price Index (CPI) rose 0.1% month-on-month in July.
Traders focus on corporate results and US consumer inflation data as geopolitical tensions between the US and Iran weigh on market sentiment.