Stocks, US futures gain as Treasuries retreat

Stocks, US futures gain as Treasuries retreat

Stocks















Bloomberg

European stocks advanced and US equity futures were steady on Tuesday while oil gained as investors evaluated the prospect of tougher sanctions against Russia. Bonds retreated amid deepening concern about inflation and the policy response.

The Stoxx Europe 600 index edged higher. The energy sector outperformed, with Vestas Wind Systems leading gains for renewable-energy companies amid an uncertain outlook for oil and gas supplies. Contracts on the S&P 500 and Nasdaq 100 were little changed.

Treasury yields rise, with the spotlight remaining on inverted yield curves that may signal an economic downturn should the Federal Reserve tighten aggressively quell price increases. Bond yields across Europe also climbed as traders boosted tightening bets after a hawkish tilt by Australia’s central bank. A report on Tuesday showed input costs for French services firms accelerated to a record.

Market moves are continuing to be shaped by the ramifications of the war in Ukraine and tightening monetary policy as raw-material costs stoke inflation. The Federal Reserve minutes on Wednesday will guide expectations for how rapidly the US central bank will increase rates and reduce its bond holdings. The Covid-19 resurgence in Europe