US Stock Futures Slip as Inflation Worries Loom and Tech Earnings Approach
US stock futures are pointing slightly lower on Monday, August 31, 2026, as investors weigh stubborn inflation worries against mixed economic signals. The E-mini S&P 500 contracts are down about 0.3%.
Former Fed official Kevin Warsh highlighted the PCE inflation gauge and warned that price pressures could be slow to fade, which keeps Treasury yields elevated and borrowing costs higher for households and companies.
US consumer sentiment has been revised up to 51.7, but one-year inflation expectations now sit at 4.0%, indicating a lingering concern about the cost of living.
The dilemma for investors is whether higher-for-longer rates will hit interest-sensitive areas like real estate and small-cap stocks harder than larger, cash-rich companies that may cope more easily with tighter financial conditions.