U.S. stock futures fell on Wednesday as investors continue to look cautiously at banks since the emerging recovery in U.S. stocks lost steam in Europe.
At 13:00 (CET), the Dow futures down 537 points or 1.66%, S&P 500 futures 69 points or 1.76% are left and the Nasdaq 100 futures They lost 199 points or 1.62%.
Several U.S. regional banks, such as KeyCorp (NYSE:.KEY) and PacWest Bancorp, go down before the market opens.
Lenders had contributed to Wall Street’s recovery on Tuesday, while confidence was also boosted by Consumer inflation data, whose February reading was largely as expected. The data, along with pressure on the banking sector, encouraged bets that the EDF It will have limited room to raise interest rates.
The rally in US stocks continued today in Asian markets, especially in Hong Kong and South Korea, where the Hong Kong and South Korean stock markets, with a strong technological component, recorded gains. The region’s broader markets also rose, as fears of a U.S. banking crisis appeared to ease after the government stepped in to protect depositors following the collapse of Silicon Valley Bank.
But gains didn’t last long in Europe, where bank stocks fell sharply. On the continent, the health of these lenders’ bond portfolios remains a concern following last week’s SVB crash.
The losses are led by the embattled Credit Suisse bank (SIX:CSGN) Group AG, which has also been weighed down by the announcement that its largest shareholder, Saudi National Bank, was withdrawing further capital injections. The shares lost more than a tenth of their value and hit record lows.
The index Euro Stoxx Banks, which has been in the crosshairs of traders worried about the possible contagion to the whole world of last week’s Silicon Valley Bank crash, has fallen almost 8%.
In terms of data, the focus will be on February retail sales, with observers watching for clues about Americans’ spending habits in a warmer-than-usual winter weather environment and a resilient labor market.
Meanwhile, oil markets trimmed early gains as traders gauge the outlook for demand and banking sector turbulence. The futures of U.S. crude fell 1.75% to $70.08 per barrel, while the Brent It leaves 1.73%, up to $ 76.11 per barrel.
In addition, the Gold Futures A rise of 0.50% to $1,920.55 per ounce is targeted, while the pair EUR/USD It is down 1.26% to 1.0599.