US stock futures were steady on Friday morning as investors assessed the macroeconomic and geopolitical crosscurrents that have pushed up oil prices and bond yields in recent days.
Futures on the Dow Jones Industrial Average (YM=F) and the S&P 500 (ES=F) edged higher, while contracts for the Nasdaq-100 (NQ=F) traded up by 0.2%.
The stock market continues to swing in reaction to bond yields and oil prices. The 10-year Treasury yield climbed to 5.16%, its highest level since the global financial crisis, on Thursday amid inflation concerns. “Not a crisis but an eye-opener,” BlackRock’s Rick Rieder told Yahoo Finance on Thursday about the bond sell-off.
Oil prices, meanwhile, edged lower, with WTI crude futures (CL=F) falling to $92 per barrel, while global benchmark Brent crude futures (BZ=F) traded near $105 per barrel. Gas prices neared $4.50 on average in the US, keeping pressure on consumers.
A reading of consumer sentiment on Friday from the University of Michigan will give a sense of whether Americans’ inflation expectations are changing.
Chinese President Xi Jinping concludes his visit to the White House today after a formal dinner on Thursday that yielded plenty of spectacle — with a red carpet and top US executives in attendance — but few policy outcomes. The US and China seemed to agree to keep their trade relationship status quo for several months.
LIVE 2 updates
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Good morning. Here’s what’s happening today.
Economic data: Durable goods orders, August preliminary reading (-0.3% expected, +1.1% previously); Kansas City Fed services activity, September (-3 previously); U. Mich. sentiment, September final reading (47.8 expected, 47.8 previously); U. Mich. current conditions, September final reading (50.9 previously); U. Mich. expectations, September final reading (45.8 previously); U. Mich. 1-year inflation, September final reading (+4.6% previously); U. Mich. 5-10 year inflation, September final reading (+3.4% previously)
Earnings calendar: Tamboran Resources Corporation (TBN)
Catch up on some top stories you might have missed overnight:
Trump advisers analyzing impact of short-term diesel export ban
Starbucks to close 250 stores in US, Canada this week
Grains drop with Trump-Xi summit yet to offer farm trade details
Here’s the invite list for Trump’s state dinner with China’s Xi
Tesla set to formally roll out Semi electric trucks at Nevada event
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Asian stocks fluctuate as Trump, Xi meet and Big Tech execs descend on Washington
Asian stocks fluctuated as a global bond sell-off continued to pressure markets and the outcome of talks between US President Trump and Chinese President Xi Jinping remained unclear.
Markets in South Korea, mainland China, and Taiwan were closed for a holiday. Hong Kong’s Hang Seng (^HSI) index fell by over 1%. Shares of Japan’s Nikkei (^N225) index rose 1%.
Bloomberg reports on the dinner Trump hosted for Xi and a who’s who of Silicon Valley giants:
Luminaries from Wall Street and Silicon Valley joined President Donald Trump for a state dinner honoring his Chinese counterpart Xi Jinping, in a demonstration of US technological and financial might.
Trump has welcomed Xi with fanfare this week, affording rare state visit honors to a counterpart considered one of America’s biggest industrial and military rivals. The race to dominate in artificial intelligence has emerged as a growing flashpoint, with Chinese companies rapidly closing the gap with US models.
Even as they compete, both governments are agreed on pushing ahead with AI’s development despite mounting concerns over the technology’s impact on jobs, the environment and even the future of humanity.
Thursday’s dinner brought together some of the most influential names in that sphere. Among those invited were Nvidia Corp.’s Jensen Huang and OpenAI’s Sam Altman. Tech icons Mark Zuckerberg, Jeff Bezos, Elon Musk and Tim Cook were among those with coveted invites, as well as Satya Nadella of Microsoft Corp. and Sundar Pichai of Google’s parent, Alphabet Inc.
Read more.
