Stock futures dip as oil and gasoline stay below year-ago levels
S&P 500 and Dow futures were lower Sunday night, while crude and gasoline prices remained cheaper than they were a year earlier.
By Priya Nair · Economy Reporter
· 3 min read
U.S. stock futures pointed lower Sunday evening, giving investors a soft read on the market before a Monday with no major economic reports scheduled. For retail investors, that matters because futures often set the tone before the opening bell, even though they do not guarantee where stocks will trade once regular market hours begin.
Calculated Risk reported Sunday night that, based on pre-market data from CNBC and Bloomberg futures, S&P 500 futures were down 16 points and Dow futures were down 104 points on a fair-value basis.
Futures are contracts linked to indexes such as the S&P 500 or Dow Jones Industrial Average. They trade outside normal stock-market hours and give investors a live signal of how traders are pricing the next session. “Fair value” adjusts futures prices for costs and dividends so the futures move can be compared more directly with the cash index.
The calendar looked quiet to start the week. Calculated Risk said no major economic releases were scheduled for Monday, Jan. 12. That can leave markets more focused on company-specific news, interest-rate expectations, commodity moves and any fresh headlines that arrive before the open.
Oil rose for the week, but remains well below last year
Energy prices were higher over the prior week, according to Calculated Risk, but crude remained below where it stood a year earlier. West Texas Intermediate futures, the U.S. oil benchmark, were at $59.37 a barrel. Brent crude, the international benchmark, was at $63.60 a barrel.
A year earlier, WTI was at $77 a barrel and Brent was at $80 a barrel, according to Calculated Risk. The blog said WTI prices were down about 24% from the same point last year.
Oil prices matter beyond energy stocks. Crude feeds into gasoline, diesel, airline fuel and shipping costs, so changes can affect consumer spending, company margins and inflation readings. Lower year-over-year oil prices can ease some pressure on households and businesses, while weekly increases can still show up in shorter-term fuel-price moves.
Gasoline prices are lower than a year ago
National gasoline prices were at $2.74 per gallon, according to a GasBuddy chart cited by Calculated Risk. That compared with $3.03 per gallon a year earlier.
The difference puts nationwide gasoline prices down 29 cents per gallon from last year, according to Calculated Risk. For households, gas prices are one of the most visible parts of inflation because they change frequently and hit weekly budgets directly.
The Sunday-night snapshot left investors with a mixed early read: softer equity futures, a light economic calendar, oil up over the week and fuel prices still lower than last year. The next market test comes when regular trading begins and investors decide how much weight to give those overnight signals.
This story draws on original reporting from Calculated Risk.
