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US STOCKS-Wall St set for muted open after in-line inflation data; Mideast truce in focus
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US STOCKS-Wall St set for muted open after in-line inflation data; Mideast truce in focus
Apr 10, 2026 6:41 AM

* Futures: Dow flat, S&P 500 up 0.15%, Nasdaq up 0.26%

* March CPI at 3.3% on annual basis, in line with

estimates

* TSMC's US shares gain after Q1 revenue beat

(Updates after inflation data)

By Purvi Agarwal and Avinash P

April 10 (Reuters) - Wall Street's main indexes were on

track for a subdued open on Friday after March inflation data

largely aligned with expectations despite persistent pressures

from the Iran war, while investors assessed the stability of the

ceasefire.

A Labor Department report showed the Consumer Price Index

rose 3.3% in March, in line with estimates, according to

economists polled by Reuters. Core CPI, which excludes volatile

food and energy components, came in slightly softer at 2.6%,

versus an expected 2.7% rise.

Traders stuck to bets that the U.S. Federal Reserve will

hold interest rates steady this year, according to data compiled

by LSEG. They were expecting two interest-rate reductions before

the conflict began.

"When paired with Thursday's PCE data, the message is clear:

inflation remains sticky - and that optimistically assumes the

energy surge proves to be a temporary headwind rather than a

lasting recalibration," said Bret Kenwell, U.S. investment

analyst at eToro.

"It should keep policymakers on pause, unless we see a more

notable deterioration in the labor market or the broader

economy."

San Francisco Fed President Mary Daly told Reuters on

Thursday that the oil shock from the Iran war would extend the

timeline on bringing inflation back to the U.S. central bank's

2% target.

The announcement earlier this week of a two-week truce

between the U.S. and Iran buoyed Wall Street, setting the S&P

500 on track for its largest weekly jump since November.

Meanwhile, the Dow was set to post its strongest gains since

June. The truce has shown signs of strain ahead of the first

round of talks, which are scheduled for Saturday.

However, markets drew comfort after Israeli Prime Minister

Benjamin Netanyahu said he was seeking direct talks with Beirut,

leading Wall Street's main indexes to close higher in the

previous session.

At 08:47 a.m. ET on Friday, Dow E-minis rose 4

points, or 0.01%, S&P 500 E-minis gained 10.25 points,

or 0.15%, and Nasdaq 100 E-minis were up 65.25 points,

or 0.26%.

Tehran and Washington have accused each other of ceasefire

violations, pointing to a fragile truce. The Strait of Hormuz, a

key waterway for global oil shipping, remains largely shut,

making markets highly sensitive to headline developments.

"Investors could be in for a fretful weekend as they wait

for indications of whether a path to lasting peace is possible.

Ahead of this, they may be tempted to hedge their bets", said

Dan Coatsworth, head of markets at AJ Bell.

A preliminary reading of the University of Michigan's

consumer sentiment survey for April is due after markets open on

Friday.

In premarket trading, U.S.-listed shares of Taiwan

Semiconductor Manufacturing ( TSM ) , the world's

largest contract chipmaker, rose 2.3% after it beat market

forecasts for first-quarter revenue.

CoreWeave ( CRWV ) shares gained 5% after it announced a

multi-year agreement with Anthropic and priced its convertible

bond offering at a premium.

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