Investing.com – U.S. Futures pointed to a lower opening bell on Monday as markets extended losses from Friday amid bond yields concern.
The S&P 500 futures fell over 13 points or 0.48% to 2,743.50 as of 6:45 AM ET (11:45 GMT) while Dow futures decreased 203 points or 0.80% to 25,225.0. Meanwhile tech heavy Nasdaq 100 futures was down 26 and a half points or 0.39% to 6,729.25.
Markets closed in the negative on Friday after a strong jobs report showed that wages grew at their fastest pace in more than eight and a half years, fueling inflation concerns. The Labor Department reported the U.S. economy had added 200,000 jobs in January, beating a consensus of 180,000, while wages grew by 2.9 percent on an annualized basis.
Bond yields rose after the report, as investors grow concerned that inflation will rise and the Federal Reserve will interest rates more than expected next year. The benchmark 10-year Treasury yield rose to 2.855% while the 30-year Treasury bond surged to 3.116%.
Bond yields rise when prices fall.
Automobile maker Fiat Chrysler Automobiles NV (NYSE:FCAU) was among the top movers in pre-market trading, jumping 4.22% while Deutsche Bank AG (DE:DBKGn) NA O.N. (NYSE:DB) rose 0.41% and telecommunications firm Qualcomm (NASDAQ:QCOM) increased 5.19%.
Meanwhile semiconductor Advanced Micro Devices (NASDAQ:AMD) fell 1.61% while Chinese e-commerce giant Alibaba (NYSE:BABA) was down 1.45% and Wells Fargo (NYSE:WFC) slumped 9.47% after the Federal Reserve issued a growth cap on the firm until it submits a plan to overhaul its corporate governance.
In economic news, the services purchasing managers' index (PMI) data is due out at 9:45 AM ET (14:45 GMT) followed by the non-manufacturing ISM report on business at 10:00 AM ET (15:00 GMT).
In earnings news, Bristol-Myers Squibb Company (NYSE:BMY), Arconic Inc (NYSE:ARNC) and Sysco (NYSE:SYY) are some of the major names expected for report their earnings before the morning bell.
In Europe stocks were down. Germany’s DAX fell 100 points or 0.79% while in France the CAC 40 decreased 57 points or 1.07% and in London, the FTSE 100 was down 97 points or 1.32%. Meanwhile the pan-European Euro Stoxx 50 lost 35 points or 1.01% while Spain’s IBEX 35 slumped 103 points or 1.01%.
In commodities, gold futures inched forward 0.25% to $1,340.60 a troy ounce while crude oil futures were down 0.47% to $65.14 a barrel. The U.S. dollar index, which measures the greenback against a basket of six major currencies, inched down 0.03% to 89.01.