From Nasdaq Inc.:

Wall Street indexes expected to start Friday subdued after in-line inflation print signals continued moderation in price pressures, helping offset an earnings gloom after Intel forecasted dour revenue. Despite Intel’s slump, most S&P 500 companies have surpassed earnings expectations so far. The S&P 500 closed at an all-time high, gaining 12th straight weekly advance out of 13.

The U.S. Commerce Department’s report showed that the personal consumption expenditure index rose by 0.2% month-on-month and by 2.6% annually, both in line with expectations. The Federal Reserve’s preferred inflation gauge, excluding volatile items, rose by 0.2% monthly and by 2.9% annually which is slightly below expectations.

With the looming earnings of Apple, Microsoft, and others, January’s rapid rate hikes may soon be a thing of the past. Reports suggest that the S&P 500 companies that have reported earnings so far have a long-term average beat rate of 67%.
On Wednesday, Tesla warned of growth concerns, which added to the anxiety over the rich valuations for heavily weighted megacap companies. The downward pressure added worries over rich valuations for heavily weighted companies while KLA lowered its third-quarter guidance.

The S&P 500 .SPX closed at an all-time high for a fifth straight session on Thursday reflecting strong fourth-quarter U.S. economic growth, and the Dow e-minis 1YMcv1 fell 4 points as the other e-minis gained points. Intel slumped 9.8% and T-Mobile dropped 1.9% while American Express added 1.6% and Visa declined 2.6%.

Investors grappled with growing uncertainty over when interest-rate cuts could arrive this year. The Dow component American Express added 1.6% as the credit card firm forecast a higher-than-expected annual profit. But, chip stocks slipped due to Intel’s dour revenue forecast and T-Mobile and Visa posted lower-than-expected figures.



Read more: US STOCKS-Wall St eyes muted open as inflation data offsets Intel’s bleak forecast