Traders work on the floor at the New York Stock Exchange on February 1, 2024.
Brendan McDiarmid | Reuters
Stock futures were little changed on Monday, as rising Treasury yields capped important gains for stocks and investors braced for upcoming inflation data.
Linked futures contracts Standard & Poor's 500 Hovering near the flat line. Nasdaq 100 futures It advanced by 0.1%, while Dow Jones Industrial Average Futures He won 16 points or 0.04%.
Stocks ended Monday's trading largely unchanged, with the S&P 500 closing marginally lower by 0.04%. The 10-year Treasury yield rose to 4.4%, as investors awaited Wednesday's CPI report for more information on how Federal Reserve policy will affect inflation. Economists surveyed by Dow Jones expect inflation to rise 0.3% in March.
“if [CPI] “It surprises and continues to reprice inflation expectations higher, and I think that's where it gets dangerous for stocks,” Anastasia Amoruso, chief investment strategist at iCapital, told CNBC's “Closing Bell” on Monday.
Amoruso added that the rise in bond yields resulted from improved growth expectations, supported by a stronger-than-expected jobs report released on Friday. However, she warned that the continued rise in the 10-year bond yield could signal cause for concern in the broader market.
“If the moves are somewhat contained here, I think we're fine, despite the backstop, but obviously if you have anything closer to a breakout to 4.8%, I think we should be concerned,” she said.
In terms of economic releases, the National Federation of Independent Business will release the results of its small business survey on Tuesday. In addition to the CPI release on Wednesday, the minutes from the Fed's March meeting are also scheduled for release that day.
