5 things to know before the stock market opens Friday, February 11

Here are the most important news, trends and analysis that investors need to start their trading day:

U.S. stock futures were mixed Friday, one day after a sharp sell-off that was prompted by hotter-than-expected inflation data and St. Louis Federal Reserve President James Bullard’s call for 100 basis points worth of interest rate increases by July 1. To get that done, central bankers would have to do at least one 50 basis point hike if they were to act each time during their three regularly scheduled meetings — March, May and June — before Bullard’s deadline. Citi economists now see the Fed making the more aggressive 50 basis point increase in March. The market expects six 25 basis point hikes this year, starting in March, to tamp down soaring inflation.

The 10-year Treasury yield ticked lower Friday but remained above 2%, a level reached Thursday for the first time since August 2019. The 2-year Treasury yield, the most sensitive duration to policy interest rates, traded around 1.6% on Friday after surging 26 basis points in the prior session, the biggest single-day move since 2009. Wall Street will be looking to Tuesday’s release of the producer price index to see if inflation at the wholesale level ran as hot last month as Thursday’s consumer prices report showed.

If the market closes sharply lower on Friday, the Dow Jones Industrial Average, the S&P 500 and the Nasdaq could post losses for the week. All three stock benchmarks were higher last week, with the S&P 500 and Nasdaq logging their best weeks of the year. The Nasdaq, still in a correction, sank 2.1% on Thursday. The S&P 500 lost 1.8% and the Dow fell 526 points or nearly 1.5%. All three had briefly turned positive intraday Thursday before closing lower on concerns about rising inflation and how aggressive the Fed will be in fighting it.

Under Armour shares, after initially jumping 7%, fell 2.5% in the premarket despite the retailer on Friday reporting fiscal fourth-quarter earnings and sales ahead of analysts’ estimates, as a cloudy outlook hampered by lingering supply chain constraints overshadowed those results. The company also warned that heightened freight expenses will weigh on profit margins in the coming months.

Zillow Group shares rose 13.5% in Friday’s premarket, the morning after the real estate website operator…