U.S. Stock Futures Are Lower While Investors Monitor Negotiations in Europe
U.S. stock futures are lower. Last week, the three primary indexes had their best weekly performance since Nov. 2020. The S&P 500, Dow Jones Industrial Average, & Nasdaq were up 6.1%, 5.5% and 8.1%, respectively. As the war continues in Europe, investors are monitoring the negotiations, which so far have made no progress and both sides are fairly wide apart. The overall tenuous situation in Russia is expected to be the primary driver for investor sentiment. Global energy prices are slightly elevated and treasury bonds yields (10y/30y) are higher & curve remains flat with some points yields have been inverted. The PMI, Durable Goods Orders and consumer sentiment are the main economic releases for this coming week. International markets are trading mixed. High Yield and investment grades spreads are opening the week tighter after last week’s widening.