U.S. Stock Futures Are Higher as Investors Anticipate Limited Spillover from Evergrande #StockMarket #Evergrande #China

United Asset Strategies |

U.S. stock futures are higher:   As of this morning, Chinese government officials stated that they are reluctant to bail out Evergrande and informed local markets to be prepared for the potential fallout from any liquidity or bankruptcy issues. This is according to the Wall Street Journal.  Additionally, investors are anticipating that the Evergrande problem can be contained and thereby limiting a spillover or contagion impact to other markets/sectors.  The Fed ended its policy meeting by announcing that the central bank could begin reducing monthly asset purchases in November and is expected to complete the tapering process by mid-2022.   Afterwards possibly raising interest rates next year.  Post meeting, the projections showed that half of the 18 officials expect to increase rates by the end of 2022.   Long term treasury bonds yields are ticking higher this morning after yesterday’s announcements.  Last week’s initial jobless claims total 351,000 versus 320,000 estimates.  International markets are trading and closed mainly higher.