U.S. index futures advanced in pre-market trading on Tuesday, signaling a recovery after a volatile week. Investors are eagerly awaiting inflation reports, which could provide clarity following recent market fluctuations. The Producer Price Index (PPI) will be released today, with the Consumer Price Index (CPI) scheduled for Wednesday.

At 4:47 AM ET, Dow Jones futures (DOWI:DJI) were up 64 points, or 0.17%. S&P 500 futures gained 0.35%, and Nasdaq-100 futures rose 0.56%. The 10-year Treasury yield was at 3.921%.

In commodities, oil prices are falling, breaking a five-day streak of gains, after OPEC cut its demand growth forecast for 2024, citing weak demand in China. Global demand concerns and potential changes in OPEC+ production also contributed to the decline, with investors watching geopolitical tensions and upcoming U.S. inflation data.

West Texas Intermediate crude for September fell 0.29% to $79.83 per barrel, while Brent crude for October dropped 0.30% to $82.05 per barrel.

On the U.S. economic calendar for Tuesday, at 6:00 AM, the NFIB Small Business Optimism Index for July will be released, expected to remain at 91.5 points. At 7:30 AM, the July Producer Price Index (PPI) will be released, with an expected increase of 0.2%, as well as the core PPI. Yearly PPI and core PPI data, previously at 2.6% and 3.1%, respectively, will also be reported.

According to a survey by the Federal Reserve Bank of San Francisco, middle- and low-income U.S. households have significantly fewer liquid assets than before the pandemic. In contrast, high-income households have seen a partial recovery of these assets. This deficit, coupled with rising credit card delinquencies, pressures consumer spending and raises concerns about Fed interest rate policies.

Asia-Pacific markets showed mixed results. In Japan, the Nikkei 225 surged 3.45%, reaching 36,232.51 points, while the Topix climbed 2.83%, closing at 2,553.55. The rise was driven by the tech and financial sectors. South Korea’s Kospi increased by 0.12% to 2,621.50, while the Kosdaq fell by 1.02% to 764.86. In Australia, the S&P/ASX 200 rose by 0.16% to 7,826.8. In China, the CSI 300 advanced by 0.26% to 3,334.39, and the Hang Seng gained 0.32% by the end of the day.

In Japan, wholesale inflation in July rose 3% year-over-year, the largest increase in 11 months, due to yen weakness driving up import costs. The corporate goods price index hit a record 123.1, marking the eighth consecutive month of record highs, compared to 2.9% in June. The Bank of Japan, which raised interest rates to levels not seen in 15 years, is closely monitoring this data. Additionally, the yen-based import price index rose by 10.8% in July, reflecting yen weakness and rising commodity prices.

In Australia, wages increased by 0.8% in the quarter ending in June, the slowest pace in a year and below forecasts of 0.9%. Annual wage growth remained at 4.1% but is expected to slow. The private sector saw growth of just 0.7%, the slowest since December 2021, reflecting a sluggish labor market recovery.

In July, business conditions in Australia improved, with the index rising to +6, while the confidence index fell to +1. Employment recovery lifted the employment index to +7, but sales dropped. The survey showed a slowdown in price pressures, with purchase costs and product prices slowing down, though labor costs increased.

Singapore’s economy grew by 2.9% in the second quarter, meeting the official estimate and exceeding expectations. The government adjusted the 2024 GDP growth forecast to 2.0%-3.0%. Quarterly growth was 0.4%. External demand is expected to remain strong, but geopolitical and financial risks persist.

European markets rose, with utilities leading gains, while travel stocks declined. Wages in the U.K. grew 5.4% year-over-year in the second quarter, the slowest rate in two years. The unemployment rate fell to 4.2%, below the expected 4.5%. Jack Kennedy of Indeed stated that the labor market remains tight and wage pressures are easing slowly, limiting rate cuts by the Bank of England. U.K. inflation data is due Wednesday, with expectations that the headline rate will rise to 2.3%.

On Monday, U.S. stocks fluctuated, with the Dow Jones falling 0.36%, the Nasdaq rising 0.21%, and the S&P 500 remaining almost flat. Volatility was driven by anticipation of important economic reports that could influence the Federal Reserve’s interest rate decisions. Among individual stocks, JetBlue (NASDAQ:JBLU) fell 20.7% after announcing the issuance of $400 million in convertible notes. Weakness in airline and telecom stocks contrasted with gains in gold stocks.

In the quarterly earnings front, The Home Depot  (NYSE:HD), Melco Resorts & Entertainment  (NASDAQ:MLCO), Sea Limited  (NYSE:SE), Hut 8 Mining  (NASDAQ:HUT), Paysafe  (NYSE:PSFE), MindMed  (NASDAQ:MNMD), Intuitive Machines  (NASDAQ:LUNR), Hyzon Motors  (NASDAQ:HYZN), Tencent Music Entertainment Group  (NYSE:TME), among others, will report before the market opens.

After the close, numbers are expected from Nu Holdings  (NYSE:NU), SurgePays  (NASDAQ:SURG), Ouster  (NYSE:OUST), Gold Royalty  (AMEX:GROY), Zevra Therapeutics  (NASDAQ:ZVRA), Intapp  (NASDAQ:INTA), Avino Silver & Gold Mines  (AMEX:ASM), Franco-Nevada  (NYSE:FNV), Silvercorp Metals  (AMEX:SVM), Oncology Institute  (NASDAQ:TOI), and more.