Dow futures ease amid surging bond yields, rate cut hopes dim

Investing.com - US stock futures remained mostly unchanged on Monday night following a market dip caused by rising bond yields and concerns that the Federal Reserve might not slash interest rates as much as previously anticipated.

By 6:20 pm ET (11:20 pm GMT) Dow Jones Futures eased 0.1%, S&P 500 Futures also edged down by 0.02%, while Nasdaq 100 Futures futures saw a slight increase of 0.04%.

In after-hours trading, shares of Palantir Technologies Inc (NYSE:PLTR) surged 18.4% after the company reported EPS of $0.08, in-line with expectations while revenue was reported at $608.4 million versus $602.86 million expected. NXP Semiconductors NV (NASDAQ:NXPI) also enjoyed a 3.3% increase following impressive results.

Simon Property Group Inc (NYSE:SPG) added 1.5% after the company reported EPS of $2.29 versus $1.88 expected on revenues of $1.53 billion versus $1.38 billion expected.

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During Monday's main trading session, the S&P 500 retreated by 0.32%, moving away from last week's record high, which was driven by the performance of mega-cap tech stocks. The 30-stock Dow Jones Industrial Average also pulled back from its peak, ending the session lower by 0.71%, and the tech-heavy NASDAQ Composite slipped by 0.2%.

The downturn in stocks came in response to Federal Reserve Chair Jerome Powell's comments that a rate cut at the central bank's March meeting is unlikely. These remarks, aired on "60 Minutes" Sunday night, contributed to a 13-point rise in the United States 10-Year Treasury yield on Monday, bringing it to 4.16%.

On Tuesday, Wall Street will be closely monitoring speeches from Cleveland Fed President Loretta Mester and Boston Fed President Susan Collins are also scheduled to speak.

Tuesday also marks the midway point of the earnings season. Notable companies including Eli Lilly and Company (NYSE:LLY), Spirit Aerosystems Holdings Inc (NYSE:SPR), Dupont De Nemours Inc (NYSE:DD), Amgen Inc (NASDAQ:AMGN), Chipotle Mexican Grill Inc (NYSE:CMG), and Ford Motor Company (NYSE:F) are all set to release their quarterly results.

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