Futures Jump as Bond Yields Retreat - InvestingChannel

Futures Jump as Bond Yields Retreat



Stock futures jumped in early trading Tuesday after bond yields declined, causing investors to buy the dip in beaten-up technology shares.

Futures for the Dow Jones Industrial index jumped 118 points, or 0.4%, to 31,894.

Futures for the S&P climbed 35 points, or 0.9%, at 3,854.25.

Futures for the NASDAQ Composite popped 254.75 points, or 2.1%, to 12,552.

Tesla shares popped 5% in pre-market trading, while Apple, Amazon, Microsoft, Netflix and Alphabet all gained at least 2%.

On Monday, the Dow rallied more than 300 points on investor optimism about the economic comeback from the pandemic. Yet tech shares didn’t participate on Monday, with the NASDAQ Composite shedding 2% as a rapid rise in rates caused investors to rotate out of pricey tech shares.

The tech benchmark closed more than 10% below its Feb.12 closing high, falling into correction territory.

Technology shares are set to rebound from sharp losses as bond yields stabilized. The 10-year Treasury yield fell more than six basis points to 1.52%. It traded as high as 1.62% on Monday.

Overseas, In Japan, the Nikkei 225 regained 1% Tuesday, while in Hong Kong, the Hang Seng took on 0.8%.

Oil prices gained 43 cents to $65.48 U.S. a barrel.

Gold prices hiked $25.50 to $1,703.50 U.S.

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