Stock Futures Rise Slightly After Sell-Off on Wall Street, More Bank Earnings Ahead

  • 📰 nbcchicago
  • ⏱ Reading Time:
  • 47 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 22%
  • Publisher: 51%

Canada News News

Canada Canada Latest News,Canada Canada Headlines

U.S. stock futures rose slightly in overnight trading on Tuesday following a sell-off on Wall Street triggered by surging bond yields.

Bond yields continued their year-to-date climb on Tuesday with the 10-year Treasury topping 1.87%, its highest level in 2 years. The 10-year yield started the year around 1.5%. Meanwhile, the 2-year rate — which reflect short-term interest rate expectations — topped 1% for the first time in two years.

The move, which comes after a market holiday in the U.S. Monday, indicates that investors are preparing for the possibility of more aggressive tightening by the Federal Reserve. The"2-year yield breaking above 1% is the bond market saying it agrees with the Fed that more aggressive hikes are coming," said Ryan Detrick of LPL Financial."Add those worries with crude flirting with $85 a barrel and stubbornly high inflation, and we have a perfect cocktail for a risk-off day."

The S&P 500 ended the day nearly on top of its 100-day moving average. Jim Paulsen, chief investment strategist at the Leuthold Group, said traders will be watching if the index holds this level or breaks lower. "With a light economic calendar this week, all eyes will be on key technical support levels, earnings reports and whether bond yields keep surging toward 2% or finally take a breather," said Paulsen.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 545. in CA

Canada Canada Latest News, Canada Canada Headlines