Investing.com-- U.S. stock index futures moved little in evening deals on Monday, as investors hunkered down ahead of key inflation readings that are likely to factor into interest rates, although a rally in so-called memestocks extended into aftermarket trade.
Sideways trading in U.S. futures followed a similar session on Wall Street, in anticipation of more cues on interest rates from inflation readings on Tuesday and Wednesday.
But the so-called meme stocks were an exception, rising sharply after Keith Gill, who goes by the social media tag Roaring Kitty and was a figurehead in the 2021 meme stock frenzy, made a social media post for the first time in three years. Still, their gains had little bearing on the overall market.
S&P 500 Futures fell slightly to 5,243.50 points, while Nasdaq 100 Futures fell 0.1% to 18,282.25 points by 19:13 ET (23:13 GMT). Dow Jones Futures were flat at 39,556.0 points.
Wall Street moves little with PPI, CPI data on tap
Wall Street indexes kept to a tight range on Monday, with focus squarely on producer price index and consumer price index data.
PPI data is due on Tuesday, while the more closely watched CPI reading is due on Wednesday. The readings come after inflation remained largely sticky through the first quarter, dashing expectations of interest rate cuts by the Federal Reserve this year.
Any signs of inflation remaining sticky through April are likely to further diminish expectations of rate cuts- a trend that could spark losses in stocks.
A string of Federal Reserve officials also warned in recent weeks that the central bank was in no hurry to begin cutting rates, and needed more confidence that inflation was moving back towards its 2% annual target.
The S&P 500 closed flat at 5,221.42 points on Monday. The NASDAQ Composite rose 0.3% to 16,388.24 points, while the Dow Jones Industrial Average fell 0.2% to 39,431.51 points.
Gamespot, meme stocks extend rally
Shares of so-called meme stocks AMC Entertainment Holdings Inc (NYSE:AMC) and GameStop Corp (NYSE:GME) extended gains into aftermarket trade after rising sharply during the session.
Videogame retailer GME rose nearly 24% after a 74% rally during the session, while theater chain operator AMC also rose 24% after a nearly 80% spike during the session.
Buying spilled over into other companies with relatively poor fundamentals, which retail traders had piled into in 2021 to boost their share prices.
U.S. shares of BlackBerry Ltd (NYSE:BB) rose 12%, headphones maker Koss Corporation (NASDAQ:KOSS) rose 9.2%, while Reddit Inc (NYSE:RDDT), which was the platform where a bulk of the meme stock frenzy was fostered, rose nearly 2%.
Gill, who also goes by the monikers RoaringKitty and DeepF***ingvalue, posted a series of cryptic images and clips on the social media platform X- his first posts after nearly three years of silence. None of the posts were related to GME.
Gill had inspired the meme stock rally in 2021 after his posts on Reddit’s wallstreetbets forum went viral, sparking retail buying into heavily-shorted stocks such as GME initially, and then AMC. The buying triggered exponential, albeit brief gains in stock prices.