Stock futures rose following the release of the personal consumption expenditures index for January. The index increased by 0.3% month over month and 2.5% year over year, meeting expectations.

Analysts indicate that further reductions in inflation metrics are needed before the Federal Reserve contemplates lowering interest rates. Market sentiment is affected by uncertainties surrounding tariffs, especially as China has vowed to respond to the proposed 10% tariff on additional imports. This changing trade environment complicates earnings forecasts and has led to a decrease in momentum trades.

In corporate news, Dell Technologies experienced a decline in its shares after reporting revenue that fell short of expectations and offering a weaker-than-anticipated quarterly outlook. Nevertheless, Dell projects that it will ship $15 billion in AI systems this year, up from $10 billion in fiscal 2025.

📎 Related coverage from: cnbc.com