Wall St set to fall at open as yields and oil rebound; Fed minutes in focus
SPY•U.S. stock futures fell as Treasury yields and oil prices rose ahead of the Federal Reserve’s September meeting minutes. Dow futures were down 0.79%, S&P 500 futures 0.44% and Nasdaq 100 futures 0.77%.
1. Futures point lower
Wall Street’s main indexes were set for a lower open Wednesday as investors reassessed interest rates and energy costs ahead of the Fed minutes. Brent crude rose above $100 a barrel, while the 30-year Treasury yield reached 5.72%, its highest since 2002.
2. Premarket decliners
Chip stocks fell, with Micron down 2.8% and AMD, Broadcom and Marvell Technology lower between 1.3% and 2.1%. SpaceX fell 1.6% after reportedly seeking $40 billion in financing to buy Nvidia chips, while Constellation Brands dropped 3.8% after lowering its annual operating margin forecast.
3. Earnings outlook
The third-quarter earnings season is due to begin next week. Analysts expect S&P 500 earnings to grow 30.6% in aggregate, including estimated growth of 114.7% in energy and 66.5% in technology.
