US equity futures fall further as PPI and oil lift yields
US equity futures fell further after hot PPI data and a surge in oil and fuel prices lifted Treasury yields. S&P 500 contracts fell 0.5% and Nasdaq contracts dropped 1.1%. Producer prices rose 0.4% month-on-month in August.
US equity futures extended declines as a hotter PPI print and higher oil and fuel prices pushed Treasury yields up further. 1%. 4% in August from the previous month, as the war in Iran lifted wholesale energy costs. Oil and fuel benchmarks have climbed further since the start of September on fresh escalation in the war and increased buying from Asia, adding pressure on equities amid the possibility of a Federal Reserve rate hike next week.
Chipmakers fell on exposure to rising long-dated credit costs, with Marvell, Intel and Lam Research down 3% premarket. 5% before earnings after the bell. Apple edged higher to trim yesterday's losses after announcing a series of new products, including the foldable iPhone Duo.