Half an hour before the opening, the ‘futures’ contracts on the main New York indices are all or almost unchanged, heralding a start to the session without much change.
Investors seem disposed to want to delay a few minutes of the intervention of Jerome Powell, to follow his renewal at the head of the Fed.
The latter will speak this morning to the American Snat on the occasion of his post-appointment hearing by the Commission for Banking Services, Housing and Town Planning.
After the restrictive tone of the Fed’s minutes unveiled last week, investors expect to be reassured, at least in part, about the central bank’s intentions on interest rates.
In the meantime, the easing in bond yields offers a welcome lull in equity markets.
The yields of US Treasury bonds have started falling again since yesterday and the ten-year returns this morning 1.7680% after having flirted with the level of 1.80%, a new high since the pandemic.
It is in this particular context that market participants will learn, tomorrow morning, the latest inflation figures in the United States.
Operators know that data above the consensus could lead to a further rise in government bond yields and rekindle fears about future rate hikes.
Moreover, investors seem unwilling to commit too much before the start of the quarterly earnings’ season, which will kick off on Friday by glove banking publications JPMorgan Chase, Citi and Wells Fargo.
No major indicator is expected this Tuesday.
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