Crude futures fell more than 2% overnight after inventory builds came in larger than expected, easing worries that rising fuel costs would squeeze consumer budgets. The relief showed up immediately: airlines and retailers, two groups that feel oil's pinch most directly, traded higher in the first hour.
Index futures pointed to a firmer open for the major averages. The moves follow a choppy week in which investors balanced a strong earnings season against uncertainty about the path of interest rates.
Traders now look ahead to the week's economic calendar, where durable goods and a fresh read on consumer spending will test whether the economy is cooling at the pace policy makers want.
Key takeaways
- Energy weakness can lift rate-sensitive and consumer sectors
- Inventory data can drive single-day swings in crude
- Earnings strength continues to offset macro worries
