US pre-open: Stocks set to slip ahead of economic data barrage

(Sharecast News) - Wall Street was expected to open with small losses on Thursday with investors showing caution ahead of a busy 48 hours for economic data. The Dow, S&P 500 and Nasdaq were all trading around 0.1% to 0.2% lower in pre-market trade.

Thursday will see the release of jobless claims, the first-quarter GDP price index, wholesale inventories, and durable goods orders - all due out at 0830 EDT, followed by pending home sales at 1100 EDT and the Kansas Fed manufacturing survey at 1200 EDT.

Eyes will also be turning to Friday's release of the US core personal consumption expenditures index - the Federal Reserve's preferred gauge of inflation. The annual rate of core PCE inflation is expected to have eased to 2.6% in May from 2.8% the month before.

"Despite the uptick in USD this week, US stocks are holding up surprisingly well," said analyst James Harte of Tickmill Group, with both the S&P 500 and Nasdaq sitting just below their record-high levels reached last week.

"A hawkish shift from the Fed at the June FOMC has not dented the rally and while the market has paused for now, it remains very much in a bullish phase. Indeed, the price action suggests some confidence that the Fed will ultimately ease in September, despite the bank slashing rate-cut projections to one from three prior in line with upwardly revised inflation forecasts."

In company news, second-quarter earnings season is now well underway - though doesn't really pick up for a couple of weeks when the big banks report.

Nevertheless, Micron Technology disappointed investors with its sales guidance after the bell on Wednesday, causing futures to fall sharply in pre-market trade, McCormick reassured the market with an in-line set of quarterly figures, while Nike will report its results after markets close.