- As the global sovereign-bond selloff halted, investors switched their attention to corporate earnings, and US futures climbed.
- In premarket trade, futures on all three main benchmarks advanced, while Alcoa surged after the aluminium producer forecast increased demand and cautioned that any confrontation between Russia and Ukraine might exacerbate the metal's current supply restrictions. The Stoxx 600 index in Europe fluctuated.
- As crude oil fell from a seven-year high, automakers and energy industries saw their stock prices fall.
- Concerns about rising inflation and the possibility of Federal Reserve interest rate rises pushed bond rates down, although they are still higher for the week. The dollar index remained stable, while gold fell.
- Markets are focused on potential Fed rate rises and the possibility of a drop in the central bank's treasury holdings beginning later in 2022. The removal of large-scale stimulus threatens to increase volatility across a wide variety of assets.
- Meanwhile, European Central Bank President Christine Lagarde stated that the ECB had every reason not to respond to rising consumer prices as vigorously as the Fed. The central bank has been pressed to respond, but officials believe a hike in interest rates this year is unlikely since the current round of inflation is being driven by supply shocks and an increase in energy costs.
- China will resolutely reduce the risks of major property developers' late project delivery, according to an industry website citing a national property conference.
- EC Pres. von der Leyen on Russia: If an attack occurs we are prepared.
- German DMO Official: Issuing ultra-long debt may be more difficult in an environment of rising yields.
- ECB's de Cos: No interest rate hikes are foreseen in 2022.
- ECB's President Lagarde: Forecasting inflation in 2022 at 3.2%
- ECB's President Lagarde: Seeing some evidence of supply chain difficulties stabilizing.
