- As investors evaluated the possible effects of China's modest new economic growth objective and watched to see if Treasury yields would continue to decrease from recent highs, US equities futures found it difficult to build on last week's advance.
- Chinese officials set a lower-than-anticipated objective of 5% economic growth, indicating that Beijing is unlikely to use significant stimulus to support its economy as it exits the lockdowns of the Covid Era. After a solid session on Friday, when the S&P 500 benchmark ended a three-week losing skid and the Nasdaq 100 had its best day since early February, that kept US futures in the red. The Stoxx 600 index in Europe also declined, with shares of commodities and energy feeling the pinch from Beijing's growth expectations.
- An index of commodities was dragged down by falling iron ore, crude oil, and copper prices by as much as 1%.
- "The inflation drive may not be as extreme for the global economy," Christian Mueller-Glissmann, head of asset allocation research at Goldman Sachs, said. "Oil was our main worry going into this reopening. The task facing the Federal Reserve would become even more challenging if oil prices rose significantly.
