U.S. Stock Futures Are Lower as Global Bond Yields Increase
U.S. stock futures are lower: Futures are fluctuating down as global bond yields increase. The 10y treasury is currently trading at 1.95%, nearing in on its highest closing level since 2019. Higher yields have adversely impacted equities and investors are awaiting Thursday’s CPI report, with estimates between 7.1% - 7.4%. According to FactSet, with more than halfway through earing season for the S&P, 77% of the reported companies have exceeded estimates. Global oil prices eased as Russia & the West have de-escalated issues concerning Ukraine and potential reopening of Iranian nuclear talks. Overseas markets are mixed. Investment grade and high yield spreads have widened out a couple basis points over the last week and was driven by higher treasury yields.