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Stocks- U.S. Futures Flat as Investors Eye Treasury Yields

Published 2018-10-10, 06:51 a/m
© Reuters.  U.S. futures were flat on Wednesday.
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Investing.com – U.S. futures were flat on Wednesday, as investors remained wary of rising bond prices.

The S&P 500 futures was flat at 2,888.25 as of 6:50 AM ET (10:50 GMT) while Dow futures were up 3 points, or 0.01%, to 26,484.0. Meanwhile tech heavy Nasdaq 100 futures decreased 7 points, or 0.09%, to 7,392.0.

The Dow and S&P 500 closed in the red on Tuesday as bond yields climbed. The yield on the benchmark United States 10-Year note was at 3.225% after reaching a seven-year high of 3.261% the day before, while the United States 30-Year Treasury bond rose to 3.390%, not far from a four-year peak of 3.44%.

Treasury yields started to climb last week as upbeat economic data increased expectations the Federal Reserve will raise rates in December and beyond.

Tesla (NASDAQ:TSLA) was among the top gainers in premarket trading, rising 1.03% while Advanced Micro Devices Inc (NASDAQ:AMD) increased 0.92%.

Elsewhere, Ferrari (NYSE:RACE) was down 2.35% while Alibaba (NYSE:BABA) dipped 1.15% and Perrigo Co (NYSE:PRGO) decreased 1.11%.

In economic news, producer prices come out at 8:30 AM ET (12:30 GMT). Meanwhile on the central banking front, Chicago Fed President Charles Evans will be in Michigan at the Flint & Genesee Chamber of Commerce luncheon; while in Georgia, Atlanta Fed President Raphael Bostic is set to make an appearance at a National Association of Corporate Directors event in Atlanta.

In Europe stocks were down. Germany’s DAX fell 44 points or 0.37% while in France the CAC 40 was down 24 points or 0.46% and in London the FTSE 100 was flat. Meanwhile the pan-European Euro Stoxx 50 lost 8 points or 0.24% while Spain’s IBEX 35 inched down 7 points or 0.08%.

In commodities, gold futures fell 0.08% to $1,190.50 a troy ounce while crude oil futures decreased 0.03% to $74.94 a barrel. The U.S. dollar index which measures the greenback against a basket of six major currencies, was up 0.06% to 95.42.

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