From TheStreet's "Tesla Stock Active, Dow Futures Flat Amid Focus on Fed Tapering; Oil Rebounds" posted early Tuesday:
U.S. equity futures edged lower again Tuesday, while Treasury bond yields continued to creep higher, as markets approach an infection point predicated on changes to the Federal Reserve's extraordinary support programs.
A host of Fed officials spoke yesterday of the need to signal changes to the central bank's bond buying program, which is scooping up $120 billion a month in Treasury, agency and mortgage bonds in order to hold down market rates and add further support to corporate investment.
However, with recent employment reports suggesting the economy is bringing back nearly a 1 million new jobs each month, and inflation running at multi-year highs, officials including Raphael Bostic of the Atlanta Fed, Tom Barkin of Richmond and Boston Fed President Eric Rosengren are suggesting the time is right to being trimming purchases while plotting a path towards the first Fed rate hike since December 2018.
That has benchmark 10-year Treasury note yields back on the move Tuesday, rising to 1.33% in overnight trading, while the dollar index is marked at a three-week high of 93.02 against a basket of its global peers.
Stocks, meanwhile, are hovering at all-time highs near the tail end of a second quarter earnings season that is on pace to see collective S&P 500 profits rise 93.1% from last year to $439.5 billion.
My take: Moving sideways at low volume. UPDATE: Moving up.