U.S. Stock Futures Are Lower with Higher Bond Yields & Oil Prices #Evergrande #Congress #Powell

U.S. stock futures are lower:   With higher bond yields and oil prices, futures are pointing lower this morning.  The 30y treasury yield broke the 2% level and the 10y is inching close to 1.50% level.  Both yields have quickly increased over the last few days.  The Fed’s change in policy to tapering earlier combined with declining fears of a systemic meltdown associated with Evergrande are the primary reasons for higher yields.  Chairman Powell is set to testify before the Senate on Tuesday and the House on Thursday and most likely will reiterate his policy statements from last week.  While Evergrande did miss the international dollar payment on Thursday’s night, any potential negative domino effect to the broader Chinese or international capital/funding markets are expected to be contained.  Energy prices are higher with Brent crude trading above $79, hitting the highest levels since Oct. 2018.  In Washington, this week Congress will attempt to pass a funding plan to prevent a government shutdown on Friday.  European markets trading mixed and Asian markets closed slightly lower.