S&P500: Index Near Highs as Market Awaits CPI Data, Apple Event, and Trade Talks

S&P 500 Futures Flat as Traders Watch U.S.-China Trade Talks, Inflation Data

U.S. stock futures held steady Monday with the S&P 500 trading near a three-month high, as investors brace for a key week packed with economic reports and geopolitical developments. All three major indexes just closed out their second consecutive winning week, with the S&P 500 reclaiming the 6,000 level for the first time since February.

Market sentiment appears cautiously bullish despite recent soft economic data. Strategas’ Chris Verrone highlighted that cyclical stocks continuing to outperform defensive names suggests traders are betting the economy remains on solid ground. “The market’s saying ignore [the data]. Cyclicals making new highs… says the economy’s largely OK here,” he said Friday.

Will U.S.-China Trade Talks and Apple’s Conference Move Markets?

Traders are closely tracking the meeting between U.S. and Chinese officials, set for Monday in London. While specific agenda items remain undisclosed, any developments could sway trade-sensitive sectors.

Meanwhile, Apple kicks off its 2025 Worldwide Developers Conference today. With the stock down over 18% this year, analysts are watching for product or strategy updates that could lift sentiment.

How Will Inflation Data Shape Rate Expectations?

This week’s CPI report on Wednesday and PPI on Friday will be closely scrutinized for any signs of tariff-related price pressures. Alongside these, a fresh consumer sentiment reading from the University of Michigan will offer insights into inflation expectations. These numbers could influence Fed rate path assumptions as markets continue to price in gradual easing.

Which Stocks Are on the Move After Key Announcements?

Robinhood fell more than 3% premarket after failing to secure inclusion in the latest S&P 500 rebalance, despite recent speculation. Shares had surged 13% last week in anticipation. Applovin also dropped 4% after being left out.

Warner Bros. Discovery jumped nearly 9% after announcing a corporate split, separating its streaming and cable divisions. Tesla dipped 2% following a Baird downgrade, citing overhyped robotaxi plans and political uncertainty tied to Elon Musk. EchoStar tumbled 11% on bankruptcy speculation.

What Should Traders Expect This Week?

Market direction hinges on inflation data and geopolitical headlines. Traders should monitor CPI and PPI releases closely for rate impact cues. Developments from the U.S.-China meeting and Apple’s conference could create sector-specific moves. With the S&P 500 near record territory, confirmation from earnings, sentiment data, or Fed commentary could determine whether the rally holds or stalls.

More Information in our Economic Calendar.