Stock Futures Fall as 10-Year Treasury Yield Hits 19-Year High

Stock futures are rangebound this morning, after all three major indexes logged their fifth loss in six sessions Monday. Futures on the Dow Jones Industrial Average (DJI) are off a modest 47 points, while S&P 500 Index (SPX) and Nasdaq-100 Index (NDX) futures sit flat as Treasury yields continue to climb and AI stocks recover from yesterday's pullback. 

The 10-year Treasury yield earlier hit 5.041%, its highest level since 2007. Investors are also looking ahead to the Federal Reserve's two-day policy meeting, which kicks off today, with the CME FedWatch tool pricing in a roughly 92.7% chance of a 25-basis-point rate hike tomorrow. 

Continue reading for more on today's market, including:

• What could break the S&P 500 out of its range-bound trading? Per Schaeffer's Senior V.P. of Research Todd Salamone. 
• Block stock pulls back to key technical support. 
• Plus, three stocks moving after earnings. 

5 Things You Need to Know Today

1. The Cboe Option Exchange saw roughly 2.5 million call contracts and 1.7 million put contracts traded on Monday. The single-session equity put/call ratio rose to 0.67, while the 21-day moving average remained at 0.59. 
2. Dave & Buster's Entertainment, Inc (NASDAQ:PLAY) is plummeting, last seen down 13.8% before the bell, after the company missed second-quarter earnings and revenue expectations. A flood of analysts lowered their price targets after the event. Should these losses hold, PLAY will open at its lowest level since the start of Covid-19 measures. 
3. Etsy Inc (NYSE:ETSY) is up 3.2% premarket, after an upgrade from Oppenheimer to "outperform" from "perform," with a price target of $90. The firm cited AI benefits, product improvements, and more. Coming into today, ETSY is up 34.3% year to date. 
4. Forgent Power Solutions, Inc (NYSE:FPS) is up 8.1% in electronic trading, after the company posted a fiscal fourth-quarter earnings beat and strong guidance. Publicly traded since February, FPS is down 52.7% in the last three months. 
5. Housing data is due out this week alongside the highly anticipated interest rate decision. 

Asian Markets Slide on Tech Drawdown

Asian markets finished lower across the board, as a pullback in semiconductors and the broader tech sector weighed. China’s August retail sales rose just 0.4% year over year, missing the 0.8% forecast and slowing from July’s 0.6% growth. For the session, Japan’s Nikkei slipped 0.01%, Hong Kong’s Hang Seng lost 1%, and China’s Shanghai Composite and South Korea’s Kospi shed 0.5% and 0.9%, respectively.

European sentiment is much the same, sliding on a global tech dropoff and fresh jobs data. The U.K. August’s job vacancies saw a drop to 702,000 in the last quarter, logging its lowest reading since April 2021, while the unemployment rate remained at 4.9% for the same time frame. This pushed investors to believe an unchanged interest rate is probable from the Bank of England (BoE) this Thursday. At last check, London’s FTSE 100 is down 0.3%, France’s CAC 40 has shed 0.2%, and Germany’s DAX is off 0.03%.