The United States stocks were going on well and well, and that was usual in the everyday stock market. However, this was followed by a sell-off in Wall Street on Tuesday. This was triggered by the surging bond yields, so that was all of a sudden and came out of the blue.
Dow futures have been around, and they have risen just 10 points. S&P has gone on ahead to score 500 futures, and ultimately, they have gained 0.05%. We can not forget about Nasdaq, which is having 100 futures that had very unfortunately gone to be flat.
The move that had come just after the holidays showed us an important thing about the Investors that are planning to be going for the times and trying to more or less prepare for the aggressive federal measures that are most probably going to be dropped soon. This does seem like a good plan for the investors to follow in such a situation.
The “2 year yield that we have is now going on to be breaking above 1%. This is all that the bond market is going on and saying. They are also at a point where it seems that it agrees with the Fed, and they completely believe in the fact that more aggressive hikes are going to be coming shortly very soon,” said Ryan Detrick of LPL Financial.
“With much of a light economic calendar that we are seeing this week, all eyes are going to go ahead and be on key technical support levels, earnings reports. The next fact that determines whether bond yields are going to go on and keep surging toward 2% or if they are finally going to stop this and then take a breather,” said Paulsen.
That’s all that we have for now. We will keep you updated on this matter about all the stock markets.