S&P 500 Futures track Wall Street gains to attack 4,200
FXStreet News

S&P 500 Futures track Wall Street gains to attack 4,200

  • S&P 500 Futures print mild gains amid Tuesday’s quiet session in Asia.
  • Wall Street benchmarks cheered downbeat Treasury yields, Nasdaq gained the most.
  • Fed’s George renews reflation fears, light calendar probes momentum.

S&P 500 Futures remains positive for the second consecutive day, up 0.13% around 4,198 during early Tuesday. In doing so, the risk barometer follows US share-market performance amid a sluggish day with fewer catalysts.

Also challenging the market mood could be recent comments from Kansas City Federal Reserve President Esther George who cited the risk of higher inflation and probed the earlier comments by the Fed officials terming reflation as a temporary risk.

Challenges to US President Joe Biden’s infrastructure spending plan, despite trimming the total outlay to $1.7 trillion, could also be traced to the dull market mood. Global policymakers seem not impressed by Biden’s idea of 15% corporate tax, which in turn could offer a bumpy road to his aid packages at home.

Elsewhere, European Union levies fresh sanctions on Belarus after airplane hijacking while Iran and China are up for a good oil deal.

On Monday, global markets cheered downbeat activity numbers from Chicago Fed as well as comments favoring no need for tapering talks by the US Federal Reserve (Fed) officials. The same weighed on the US 10-year Treasury yields, around 1.60% by the press time, not to forget the Wall Street benchmarks.

Read:  Wall Street Close: Bulls cheer Treasury yields retreat

Moving on, headlines concerning the inflation and the Fed’s next moves can entertain traders ahead of Friday’s US Core Personal Consumption Expenditure (PCE) Price Index data for April. Meanwhile, US Durable Goods Orders, second reading of Q1 GDP and the second-tier housing, as well as employment, figures should be observed for intermediate moves.

Overall, investors are interested in seeing fewer hurdles for Fed’s easy money and no plan for tapering to extend the risk-on mood. Additionally, covid headlines and China relating updates may also be watched.

FX Street

FX Street

FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions.