Data in Europe overnight have shares there down from their highs after yesterday’s holiday. The FTSE 100 has lost 0.7%, while the DAX and CAC 40 are at the flat line after opening over 1% higher. Data from Europe showing a downturn in Eurozone manufacturing activity in April is at the root of the sell-off, which has also sent EUR/USD to session lows.
In the states, S&P front-month futures are down 3.5 to 1,397. Prices are struggling to stay above 1,400 – which could cause a further pull-back ahead of Friday’s numbers. DJIA and NASDAQ futures are experiencing similar dips ahead of the opening bell.
At 10 a.m. ET, the Commerce Department will release data on Factory Orders. As this is a lagging indicator – data from March, not April – it does not typically impact markets too much. Economists are looking for a 1.4% drop in factory orders. At 10:30 a.m. ET, the Department of Energy will release weekly petroleum inventory data. Crude Oil is down 0.4% on the session, but holding firm above $105 per barrel.
The 30-year bond caught a bid this morning, rising 0.7%. The 10-year note is higher by 0.3%. The 30-year yields 3.11%, and the 10-year yields 1.92% at the moment.