Nasdaq, S&P and Dow futures fall after stocks break weekly losing streak

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Stock index futures point to a weaker open on Tuesday after a strong performance last week that snapped historically long losing streaks for major averages.

Nasdaq 100 Futures (NDX:IND) -1.5%S&P futures (SPX) -0.8% and Dow futures (UNDUE) -1% are lower.

Rates are higher, with the 10-year Treasury yield up 7 basis points to 2.82% and the 2-year one up 5 basis points to 2.55%.

“We believe we have weathered the worst of the markets being surprised by inflation and politics,” wrote Morgan Stanley strategist Andrew Sheets. “This should help stabilize yields over the summer and reduce rate volatility, which in turn should help mortgages, munis and IG credit (in that order).”

“We think it’s too early to buy HY, especially after this week’s pop, but we expect CDS to outperform cash as investors decide they are well protected against the current uncertainty. “

Consumer confidence figures for May top the economic calendar, arriving shortly after trading began. Before the bell, there will be data on house prices in March.

Economists expect the Conference Board’s consumer confidence index to fall to 103.9 from 107.3 in April.

“U.S. house price data for March is unlikely to show the effects of rising mortgage costs yet, but it may show later,” said UBS’s chief economist, Paul Donovan. “US consumer confidence numbers are subject to political bias distortions.”

In commodities, oil is on the rise. EU leaders have agreed to ban most Russian oil imports.

Garland K. Long