Stock futures are mixed and Treasury yields continue to rise
this morning as investors hold their breath for this Wednesday's
Federal Open Market Committee meeting minutes.
US stock index futures might extend last week's losses today.
Before the opening bell,
(INDEXDJX:.DJI) futures were down 0.06% to 15,029 while futures
contracts on the
(INDEXSP:.INX) fell 0.11% to 1,649.30.
(INDEXNASDAQ:.IXIC) futures ticked up 0.03% to 3,070.75.
No US economic indicators are due out today, but the Treasury will
auction short-term debt. The yield on US 10-year Treasuries spiked
last week to 2.824%, the highest close since July 2011. This
morning, yields have reached 2.86% as investors are nervous about
the future of the Federal Reserve's monetary stimulus program.
Though Chairman Ben Bernanke stresses that tapering off asset
purchases is contingent on economic data, investors fear that it
will happen next month.
The Fed's policy committee might give more hints on its plans when
it releases the minutes of its July 30-31 meeting on Wednesday
afternoon. On Thursday, the world's central bankers and financial
titans will gather in Jackson Hole, Wyoming.
Along with Treasuries, gold prices are also rising. Spot gold was
up 0.09% today to $1,372.30.
), the largest gold producer, rose 1.4% in the pre-market to $19.59
European markets declined. Japanese stocks fared better, with the
(INDEXNIKKEI:NI225) gaining 0.79%. Japan announced that it had its
third largest ever monthly trade deficit in July, thanks to energy
imports and the yen's diminishing strength. Imports rose 19.26%
while imports rose 12.2%. Exports to Europe rose 16.6% while
exports to the US rose 18.4%.
The SEC will investigate allegations that came out this weekend
) gave the children of Chinese officials plum jobs in a quid pro
quo to win contracts in China. In one instance, it hired the son of
Tang Shuangning, a former banking regulator who is now chairman of
Everbright Group, a state-sponsored company. Subsequently, JPMorgan
won work from Everbright. In another instance, it hired the
daughter of a railway official shortly before advising
China Railway Group
(HKG:0390) on its 2007 public offering.
) will release earnings after the bell today. Analysts see the
retailer's earnings rising 14% to $0.48 per share and expect sales
to rise 13.5% to $768.06 million. Shares pulled ahead 0.2% before
the market open.