Quick Read

Pre-Market Stock Futures:

Futures are trading lower as we get ready for the start of second-quarter earnings this week, after a solid winning week on Wall Street. Renewed strikes against Iran and a chip sell-off are weighing on shares on Monday. All of the major indices closed higher on Friday, except the small-cap Russell 2000, which finished down 0.43% at 2,979. The S&P 500 finished a strong week, closing at 7,575, up 0.42%, while the tech-heavy Nasdaq was last seen at 26,281, up 0.29%. The legacy Dow Jones Industrials finished at 52,637, up 0.29%.

Friday saw the debut of Korean semiconductor giant SK hynix (NASDAQ: SKYH), which has been on fire as memory demand has exploded, driven by AI. Shares finished the day up 12.76% at $168.01. The company’s massive U.S. share debut is officially the largest equity share sale by a foreign company in U.S. history, raising almost $26.5 billion, officially eclipsing Alibaba’s (NYSE: BABA) $25 billion U.S. debut in 2014.

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Treasury Bonds:

The sellers returned to the Treasury complex as yields rose across the entire curve, with the combination of the ongoing situation with Iran and worries over the federal deficit, which has soared, the main factors behind Friday’s weakness.  The ballooning U.S. budget deficits and massive government debt auctions pushed yields higher, as investors demanded higher returns to absorb the large supply coming to market. When the final bell rang, the 30-year Treasury bond closed the session at 5.06%, while the benchmark 10-year note was last seen at 4.56%. 

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