- Contracts on the US Nasdaq index, which is heavily weighted towards technology, declined on Monday as investors remained away and Treasury yields rose on the prospect of further Federal Reserve policy tightening.
- Following swings lower on Friday when markets were alarmed by Fed Governor Christopher Waller's remarks for faster policy tightening, contracts on the interest rate-sensitive Nasdaq 100 traded in the red while those on the S&P 500 flatlined. His opinions led investors to increase their bets on a rate increase in June after one in May and to lower their forecasts for rate cuts later in the year. The Stoxx 600 Index reversed an earlier advance in Europe as well.
- Treasury yields increased a little bit. Rate-sensitive two-year borrowing costs increased to about 4.14%, a gain of more than 15 basis points over the previous week.
- ECB's Kazaks: The ECB has the option of a 25bps or 50bps move in May.
