Headline: Risk Appetite Returns as Futures Rally; Yields Climb, Crypto Pulls Back, Policy Moves in Focus
Global equities kicked off the week on a positive footing, with a risk-on tone after Friday’s late-session rebound. Stock futures rose across major markets even as bond yields pushed higher, reflecting ongoing concerns about inflation and heavy Treasury supply. Investors are also watching Washington’s funding developments, retirement benefit updates, and a sharp move lower in digital assets.
At the weekly open, S&P 500 futures advanced roughly 0.69%, Nasdaq 100 futures gained about 1.21%, and Euro Stoxx 50 futures climbed 1.44%, signaling firm demand for equities. The upswing comes despite a surge in Treasury yields across the curve following the Federal Reserve’s recent rate cut, a move that has lifted mortgage rates and kept pressure on rate-sensitive sectors. The bond market’s caution underscores persistent inflation worries and robust issuance, even as equity markets lean into risk.
In policy news, the US Senate cleared an initial 60–40 procedural vote to advance a plan to reopen the government, with final Senate steps and a House vote still ahead. On the consumer front, retirement planning remains in focus: 56% of workers opt to claim Social Security early, a choice that can reduce lifetime benefits, while experts continue to advocate waiting to maximize payouts. The 2026 cost-of-living adjustment is set at 2.8%, with the largest increases concentrated in 10 states—fueling debate over how the adjustment is calculated and its impact on retirees’ purchasing power.
Risk sentiment is more fragile in crypto markets. Bitcoin has fallen about 20% from its all-time high, while traders are watching for potential rebounds in Ethereum and XRP. The pullback has weighed on crypto-exposed equities and fintech names. Meanwhile, more than 2,200 flights were canceled on Sunday, compounding travel disruptions and signaling continued headwinds for airlines and related services.
Key Points: – Global stock futures rise: S&P 500 +0.69%, Nasdaq 100 +1.21%, Euro Stoxx 50 +1.44%. – Treasury yields climb after the Fed cut, pushing mortgage rates higher and pressuring rate-sensitive assets. – US Senate passes initial vote to reopen the government; House action still required. – 56% of workers claim Social Security early; 2026 COLA set at 2.8%, reigniting debate over the formula. – Bitcoin retreats roughly 20% from record highs as Ethereum and XRP watch key support levels. – Over 2,200 flight cancellations on Sunday highlight ongoing air travel disruptions.
