U.S. Futures Flat After S&P 500, Nasdaq Gains on Trade Optimism and Softer CPI

U.S. stock futures were little changed on Tuesday evening, holding steady after the S&P 500 and Nasdaq Composite closed higher, supported by cooling inflation and renewed optimism surrounding the U.S.-China trade détente.

Futures Snapshot (as of 19:56 ET)

• S&P 500 Futures: +0.1% at 5,908.0

• Nasdaq 100 Futures: Unchanged at 21,290.50

• Dow Jones Futures: +0.1% at 42,265.0

What Moved Markets on Tuesday

🟢 S&P 500 +0.7% | Nasdaq +1.6%

The major benchmarks rallied after April's CPI data showed inflation growing slower than expected:

• Headline CPI (YoY): 2.3% (vs. 2.4% expected)

• Month-over-Month CPI: 0.2% (vs. 0.3% expected)

• Core CPI (MoM): 0.2% (also under 0.3% consensus)

This provided a boost to rate-cut hopes, reinforcing the view that Federal Reserve policy could ease later in 2025.

🔴 Dow -0.6% | UNH Sinks 18%

The Dow was dragged lower by UnitedHealth Group (NYSE:UNH), which dropped nearly 18% after:

• Suspending its full-year financial forecast

• CEO Andrew Witty announced his resignation amid escalating medical cost concerns

U.S.-China Trade Truce Fuels Risk Appetite

Markets also gained from a 90-day tariff truce between the U.S. and China. The temporary agreement slashes:

• U.S. tariffs on Chinese goods to 30% from 145%

• China's tariffs on U.S. goods to 10% from 125%

This trade development was a key driver of Monday's rally and continues to underpin sentiment.

Investor Takeaway

While futures were calm Tuesday night, the positive macro signals—slower inflation, trade relief, and potential Fed easing—could support equities in the near term.

For investors looking to track how CPI-related sectors like consumer discretionary and tech respond, using real-time tools such as the Sector PE Ratio API can provide day-by-day clarity on which sectors are absorbing these tailwinds.

What's Next

• Retail sales data and Fed speakers could offer clues on consumer resilience and policy direction.

• Eyes will remain on whether tariff progress leads to permanent resolution, or if renewed tensions resurface.

Despite the flat futures, the mood remains cautiously optimistic.