U.S. stock futures lower near record highs, data on tap

Wall Street futures pointed to a slightly lower open on Tuesday as investors returned from the Memorial Day weekend and the S&P 500 and Nasdaq Compositehovered near record highs with market focus on economic reports later in the session.

The blue-chip Dow futures slipped 25 points, or 0.12%, at 6:55AM ET (10:55GMT), the S&P 500 futures lost 4 points, or 0.16%, while the tech-heavy Nasdaq 100 futures dipped 4 points, or 0.06%.

On the data front, and with the Federal Reserve (Fed) set to announce its policy decision in about two weeks’ time, attention will likely focus on the core PCE price index out at 8:30AM ET (12:30GMT).

Generally considered to be the Fed’s favorite inflation indicator, the annualized reading is expected to have dropped to 1.5% in April, from the prior 1.6% increase.

According to Investing.com’s Fed Rate Monitor Tool, markets were currently pricing in the odds a June rate hike at around 76%, although some experts warned that weak inflation figures could still stay the central bank’s hand.

The monthly jobs report is set for release on Friday and while the labor market is considered to be at full employment, analysts suggested to pay close attention to the annualized reading of wage inflation as the key point that the Fed will be watching before making its next move.

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