Global Markets-Tech leads shares higher in Asia, oil eases
SPY•Wall Street and European futures firm
S&P 500 futures firmed 0.3%, while Nasdaq futures added 0.4%. In Europe, EUROSTOXX 50 futures and DAX futures both rose 0.2%, while FTSE futures were flat.
Yields rise as Fed tightening bets build
Bond markets remained tense after a vicious selloff saw US 2-year yields jump 36 basis points in the past two weeks to heights not seen since mid-2024 at 4.7604%.
Hawkish guidance from the Federal Reserve last week has futures wagering on a 56% chance it will hike rates again in October, with a move by year-end considered a done deal.
"Tightening cycles are generally front-loaded, and the Fed almost never stops after one hike," wrote analysts at BofA in a note. "With nominal consumer spending up 6.3% on the year, well above the 5% level historically associated with above-target core inflation, the Fed has little choice but to restrain demand."
