Dow futures rose 198 points, or 0.6%, while S&P 500 futures and Nasdaq 100 futures advanced 0.11% and 0.22%, respectively. The gains come after St. Louis Fed President James Bullard roiled markets on Friday when he suggested a rate hike could occur in 2022 – ahead of the Fed’s 2023 target.
Investors are now looking ahead to Federal Reserve Chairman Jerome Powell’s Tuesday testimony on lessons learned from the central bank’s response to the coronavirus pandemic to see if he provides further clarity on the rate-hike path.
In stocks, Amazon Inc. kicks off is two-day "Prime Day" event. Retailers including Walmart Inc., Target Corp. and Kohl’s are holding their own sales to try and win business.
American Airlines Group Inc. will cancel about 1% of its flights in July as labor shortages will prevent the company from being able to handle pent-up travel demand.
Ticker Security Last Change Change % AAL AMERICAN AIRLINES GROUP, INC. 22.29 +0.06 +0.27%
GameStop Corp. named CEO Matt Furlong to its board of directors. Investors will also learn later this week if the video game retailer will enter the Russell 1,000 Index in its annual rebalancing. Shares have advanced 1,035% this year.
Ticker Security Last Change Change % GME GAMESTOP CORP. 213.82 -9.77 -4.37%
In deals, Amsterdam-based CNH Industrial N.V. agreed to buy Raven Industries, a U.S.-based agriculture technology company for $58 a share, a 33.6% premium to the four-week weighted stock price. The deal gives Raven an enterprise value of $2.1 billion.
In commodities, West Texas Intermediate crude oil rose 20 cents to $71.84 a barrel and gold climbed $13.80 to $1,782.80 an ounce.
Overseas markets traded mixed.
European bourses were higher across the board with Germany’s DAX 30 advancing 0.71%, France’s CAC 40 gaining 0.29% and Britain’s FTSE 100 edging up 0.12%.
In Asia, China’s Shanghai Composite climbed 0.12% while Hong Kong’s Hang Seng index fell 1.08% and Japan’s Nikkei 225 lost 3.29%.