What to watch today: Nasdaq futures drop over 2% as stocks continue to sell off – CNBC
BY THE NUMBERS
The Nasdaq was poised to lead Wall Street lower again Monday, with futures tied to the tech-heavy index dropping 2%. Rising bond yields continued to pressure stocks as traders maintained their revolt against the Fed, doubting it can get inflation under control. Two key inflation reports are out Wednesday and Thursday. Futures trading pointed to a 400-point, or 1.3%, fall at the open for the Dow and a 1.7% decline for the S&P 500. (CNBC)
The first trading week of May marked the sixth straight weekly decline for the Dow, and five straight weekly drops for the S&P 500 and the Nasdaq. The Dow and S&P 500 remained in corrections, as defined by a drop of 10% or more from their recent highs. The Nasdaq fell further into a bear market, defined by a drop of 20% or more from its most recent high. (CNBC)
The benchmark 10-year Treasury yield on Monday topped 3.18%, after going above 3% last week for the first time since late 2018. Bitcoin plunged over the weekend and dropped another 5% on Monday, going below $33,000 as the world’s largest cryptocurrency remained correlated to tech stocks and the Nasdaq. U.S. oil prices dropped Monday alongside stocks. (CNBC)
IN THE NEWS TODAY
Russian President Vladimir Putin on Monday tried to defend Moscow’s unprovoked invasion of Ukraine in a speech on “Victory Day,” annual celebrations marking the Soviet Union’s victory over Nazi Germany. Putin urged his forces on to success in Ukraine, saying there’s a duty to remember those who prevailed in World War II. Putin referred to the Donbas region in eastern Ukraine numerous times throughout the speech. (CNBC)
* Photos show Russia’s massive ‘Victory Day’ parade in Moscow (CNBC)
* Dozens feared dead after bomb hits school in Ukraine’s Luhansk region (CNBC)
China’s two biggest cities, Shanghai and Beijing, tightened Covid curbs on their residents Monday, raising new frustration and questions about the legality of its uncompromising battle against the coronavirus. China is adamant that it will stick to its zero-COVID policy to fight a disease that first emerged in the city of Wuhan in late 2019, despite the mounting toll on its economy. (Reuters)
Ford Motor (F) is selling 8 million of its 102 million share stake in electric vehicle maker Rivian Automotive (RIVN) , according to sources who spoke to CNBC’s David Faber. The move comes as the insider lockup period for selling the stock expires. Rivian went public in November and initially surged, before going on a long slide.
Uber (UBER) will cut back on spending and focus on becoming a leaner business to address a “seismic shift” in investor sentiment, CEO Dara Khosrowshahi told employees in a late Sunday …….