Futures tied to the Dow Jones industrial average rose 117 points, or 0.35%. S&P 500 and Nasdaq-100 futures gained 0.46% and 0.71%, respectively. Taiwan Semiconductor, Louisiana-Pacific and Paramount jumped after regulatory filings showed Warren Buffett’s Berkshire Hathaway had bought new positions in the former two and increased its stake in the latter. Investors also watched the filings to see what big investors Michael Burry, Bill Ackman, David Tepper and others bought or sold during the third quarter. Stocks jumped during the session Monday on comments from Federal Reserve Chairs Lael Brainard and Chris Waller about future rate hikes. While Brainard said the central bank could ease rate hikes, Waller said the market was overly optimistic and should prepare for higher rates. “After last week’s CPI decline sparked a massive equity rally and dollar reversal, the key issue for markets this week will be the Fed’s response,” Huw Roberts, head of analysis at Quant Insight, wrote in a note Monday. He added that the extent to which speakers this week push back or support recent market moves “will be critical.” Markets will get more information on inflation on Tuesday when the producer price index, a measure of wholesale inflation, is released. Investors will also study comments from Philadelphia Fed President Patrick Harker, Fed Governor Lisa Cook and Fed Vice President for Supervision Michael Barr. Earnings season continues this week with retail reports on deck. Walmart and Home Depot report results Wednesday, while Target, Lowe’s, Bath and Body Works, Macy’s, Kohl’s and Foot Locker report later in the week.
