Wall Street futures climb 1pc as Treasury yields retreat

Wall Street futures rose more than 1 per cent on Tuesday as a pullback in US Treasury yields boosted the demand for stocks, with investors waiting for more economic data to gauge the monetary tightening path, reports Reuters.
Data on job openings and factory orders will be in focus after the market opens, a day after weaker-than-expected manufacturing activity showed rising rates taming demand for goods.
Yields on government bonds fell on expectations that the Federal Reserve might slowdown, but Bank of New York President John Williams said while there are nascent signs of cooling inflation, price pressures remain too high, implying the US central bank must press forward.
"With earnings starting next week, it's going to be quite interesting to see how much the inflation is really impacting profits," said Melissa Brown, global head of applied research at Deutsche Boerse-owned Qontigo.
"If profits don't come out maybe as high as expected and you combine that with continuing higher interest rates and therefore, lower justifiable valuations, that's not a good mix to have for a market recovery."
The rebound in stocks on the first trading day of the final quarter follows the S&P 500's lowest close in nearly two years on Friday that capped its worst monthly performance since March 2020.