U.S. stock index times rose higher on Friday, indicating that the market would try to kick in after a sharp rise in bond yields being blamed for rations, in particular technology segments, to a loss in the previous session.
What do major indexes do?
-
The future of the Dow Jones YM00 business average,
+ 0.04%
rose 39 points, or 0.1%, to 32,804. -
S&P 500 futures ES00,
+ 0.17%
rose 9 points, or 0.2%, to 3,915. -
Nasdaq-100 NQ00 futures,
+ 0.44%
they went up 57.25 points, or 0.5%, at 12,837.
On Thursday, stocks went down, with the Nasdaq Composite COMP,
falling 3% as it suffered sales pressure as bond yields rose. Dow Jones industrial average DJIA,
allowed a gain to a lower limit, while the S&P 500 SPX,
also reduced as sharp sales with oil futures slowing down energy shares.
What drives the market?
Bond yields are the main driver for financial markets, analysts said. Yield on 10-year Finance note TMUBMUSD10Y,
fell 2.9 basis points to 1.69% after hitting a 14-month high on Thursday. .
The jump in bond yields has affected technology and other growth stocks that have high valuations depend on expectations for long-term future earnings. The decline came Thursday after the Federal Reserve hit a dovish tone at their policy meeting on Wednesday.
“While the Fed could not have sounded worse this week, Powell and his colleagues have inadvertently given the green light to continue production by showing that they are happy to allow inflation to exceed their target while prioritizing growth and employment, ”Raffi Boyadjian, XM’s senior investment analyst, said in a note.
Read: The Fed is dovish but bond yields have gone up dramatically. What will deliver?
Despite Friday ‘s moderate fall in Treasury yields, “it’s sad to see this reversal of bonds subside soon,” Boyadjian said. “Without clear communication from the Fed on the extent to which it is willing to tighten its financial position before recognizing that the movements are chaotic, output may continue to rise until markets find out what is going on. central bank tolerance threshold. ”
Friday marks quadruple witchcraft day, a term that refers to the simultaneous expiration of stock index income contracts, options on these contracts, times to single-stock income and stock options. Sometimes the seasonal event becomes variable.
Oil futures also broke after falling as much as 7% in the previous session, slowing down the energy sector.
Which companies are the focus?
-
Sections of Nike Inc.
NKE,
-1.14%
down 3.3% in pre-sale trading after the athletic apparel company said late Thursday that sales grew more slowly than expected in the fourth quarter due to supply chain breaks, while earnings continued higher than estimates. -
FedEx Corp.
FDX,
-0.88%
late Thursday reported fiscal profit and sales in the third quarter that easily overshadowed Wall Street forecasts, saying it expects demand for its logistics and delivery business to “remain very high in the future . ” Shares went up 4%.
How do other markets trade?
-
US DXY ICE Dollar Index,
+ 0.05% ,
the amount of cash against a basket of the six main green competitors was measured, up 0.1%. -
Oil futures were higher after Thursday’s decline, by U.S. benchmark CL.1,
+ 0.35%
up 0.5% at $ 60.36 per barrel. -
Gold futures were higher, with the April GCJ21 contract,
+ 0.30%
up 0.2% to $ 1,735.70 an ounce. -
In Europe, the Stoxx 600 SXXP index,
-0.46%
it was down 0.4%, and FTSE 100 UKX in London,
-0.90%
sheda 0.8%. -
In Asia, the Shanghai Composite SHCOMP,
-1.69%
fell 1.7%, Hong Kong HSI00 Hang Seng Index,
+ 1.30%
fell 1.4% and Japan’s Nikkei 225 NIK,
-1.41%
fell 1.4%.