Markets today: producer prices open a two-day inflation read

Wall Street opens Thursday to the first of two inflation reports this week. Producer prices land at 8:30 a.m. ET, and the consumer price index follows Friday morning. Together they hand the Federal Reserve its clearest look at price pressure before its next meeting. Crude oil has pushed above $100 a barrel overnight, the other story the market woke up to. A high-importance housing report rounds out the session at 10:00 a.m. ET. It is an inflation week.

On the calendar today

Producer prices (PPI) headline the morning at 8:30 a.m. ET, forecast at 0.4% on the month after a flat prior reading. Core producer prices are seen at 0.3% against 0.2% previously. Weekly initial jobless claims arrive at the same hour, forecast at 205,000 versus 206,000 a week earlier. The heavy items come at 8:30. Existing home sales follow at 10:00 a.m. ET, expected at 3.98 million against 4.06 million the prior month, when the monthly pace fell 1.7%. The EIA’s weekly crude oil inventory report lands at noon ET, forecast at a draw of 1.4 million barrels after a 4.45 million barrel drawdown a week earlier.

Reporting today

Oracle and Adobe both report today. The two software names typically release results after the closing bell, and a print from either can move the broader software group.

Backdrop

Stocks fell Wednesday. The S&P 500 closed at 7,636.36, down 0.48%, the Dow dropped 0.77% to 52,380.66, and the Nasdaq eased 0.64% to 26,253.34. Meta Platforms led the large-cap gainers, up 6.6%, while Vertiv was the steepest decliner, off 9.6%. The Cboe Volatility Index rose 1.3% to 16.67, and the 10-year Treasury yield stood at 4.80%.

The week ahead

• Friday, September 11: the consumer price index at 8:30 a.m. ET, with headline inflation forecast at 0.4% on the month and 3.4% on the year, and core prices at 0.2% monthly and 2.4% annual. The University of Michigan’s preliminary consumer sentiment reading follows at 10:00 a.m. ET, forecast at 51 against 51.7.

What to watch

The morning turns on the producer-price release. It is the first read on inflation the Fed is weighing this week, and rate-sensitive corners of the market, from housing to the banks, tend to react once the figure lands. The weekly jobless-claims number prints at the same hour and offers a labor-market read on the side. Oil is the other thread. Crude trading above $100 a barrel keeps energy prices in the frame, and the EIA inventory report at noon offers a fresh read on supply. Software gets its own catalyst after the close, when Oracle and Adobe post results.

This is a general-market summary for information only — not investment advice, and not a recommendation regarding any security.