From Investor's Business Daily · ED CARSON · · 1m 10s
Futures climb as Fed rate hike looms
Stock futures edge higher Wednesday despite expectations of another Fed rate increase and rising oil prices.
In brief
Stock futures edge higher Wednesday despite expectations of another Fed rate increase and rising oil prices. Markets are watching how bonds and stocks will react to the Fed's anticipated rate hike decision. Originally reported by Investor's Business Daily.
Futures edge up on Wednesday
Dow Jones, S&P 500, and Nasdaq futures all rose modestly in early trading as markets prepare for the Fed's next move.
Fed expected to hike rates
The Federal Reserve is anticipated to raise interest rates as soaring oil prices and Treasury yields continue to pressure the economy.
Stocks fell below key levels
The Nasdaq and S&P 500 both dropped below their 50-day moving averages on Tuesday, signaling continued weakness.
Treasury yields hit 5 percent
The 10-year Treasury yield climbed to 5%, reflecting market concerns about higher rates and inflation.
Oil prices surge higher
Crude oil prices continue climbing, adding pressure on inflation and potentially supporting the Fed's case for another rate increase.
Bonds face uncertain reaction
The key question now is how bond markets will respond to the Fed's rate hike decision and whether stocks can stabilize.
What it means
Markets are watching how bonds and stocks will react to the Fed's anticipated rate hike decision.
