US stocks signal flat open
Friday, 15 June 2007
NEW YORK, June (AP): Stocks moved toward a flat open Thursday ahead of much-anticipated economic readings on inflation that could validate or undercut a stock market rally Wednesday that followed a string of volatile back-and-forth sessions.
Wall Street has for days been awaiting release of the Labor Department's producer price index, which analysts expect will show a 0.5 per cent increase. The gain in April was 0.7 per cent. Economists predict the core PPI, which strips out often-volatile food and energy prices, will rise 0.2 per cent as it did in April. The second inflation reading -- the consumer price index -- comes Friday.
The PPI figures should help make clear whether recent inflation concerns have been warranted. Unease about inflation and a resulting rise in bond yields have roiled stock markets since last week.
Wall Street has for days been awaiting release of the Labor Department's producer price index, which analysts expect will show a 0.5 per cent increase. The gain in April was 0.7 per cent. Economists predict the core PPI, which strips out often-volatile food and energy prices, will rise 0.2 per cent as it did in April. The second inflation reading -- the consumer price index -- comes Friday.
The PPI figures should help make clear whether recent inflation concerns have been warranted. Unease about inflation and a resulting rise in bond yields have roiled stock markets since last week.