Stock futures were flat in overnight trading after Federal Reserve Chairman Jerome Powell said the central bank open to higher interest rates to combat rising inflation.
Dow Jones Industrial Average futures were up 10 points, while S&P 500 Nasdaq 100 futures were flat.
Nike shares rose 6% in extended trading on Monday after The retailer reported a pulse in the top and bottom lines in the third quarter, driven by strong demand in North America.
The Volatile Monday session as Powell swore to marry “necessary steps” to rein in inflation less than a week after it raised interest rates for the first time since 2018. Mr. Powell said “inflation is too high” and added that rates could rise more than 25 basis points. previously approved if necessary.
In regular trading on Monday, Dow Jones Industrial Average down 201.94 points, or 0.6%, breaking a streak of 5 consecutive days. While, S&P 500 ended slightly lower after rising as much as 0.4% during the session, while Nasdaq Composite fell 0.4% to 13,838.46 after falling as much as 1.5% at session lows.
“I’d rather encourage that the market came back pretty well in the last hour of trading,” Ed Yardeni, president of Yardeni Research and chief investment strategist, told CNBC’s “Closing Bell: Overtime” on Monday.
“I think the market is looking for opportunities and opportunities continue to come in sectors like energy and commodities. I think the market will also find more opportunities in the financial sector as interest rates rise and public sector growth increases. Technology seems terribly cheap to me,” he added.
Meanwhile, oil prices rebounded on Monday following the news that The European Union is considering a ban on Russian oil. West Texas Intermediate and Brent crude oil all increased about 7%, reaching 112.12 USD and 115.62 USD per barrel. Amid the rally, energy stocks include Mysterious Oil and Marathon Oil increase 8% each.
Investors on Monday continued to monitor the situation in Eastern Europe as ongoing peace talks between Russia and Ukraine failed to make progress and Ukraine refuses to surrender the port city of Mariupol for Russian forces. Market watchers are also watching sub-variable omicron as it spread across Europe along with one of the worst Covid-19 outbreak in China as of 2020.
Buzzfeed set to report earnings before the bell on Tuesday, then Mark and Adobe after the bell.
