US stock futures slipped into the red on Tuesday, as investors geared up for a looming consumer inflation report seen as crucial to determining the size of the first US interest-rate cut in years.
Futures on the S&P 500 futures (ES=F) and Dow Jones Industrial Average futures (YM=F) hovered below the flatline. Contracts on the tech-heavy Nasdaq 100 (NQ=F) fell roughly 0.2%.
Stocks are set to begin reversing Monday's sharp rebound, which saw the major gauges surge over 1% as investors went post-rout bargain hunting. Volatility is stalking the markets as investors waver between hopes for a hefty 0.5% rate cut from the Federal Reserve and worries about risks of recession.
The countdown is on to August consumer inflation reading on Wednesday, which could be decisive for rate-cut expectations after the monthly jobs report left the market guessing.
Read more: Fed predictions for 2024: What experts say about the possibility of a rate cut