Stock Index Futures Edge Up As Fears Of A Recession Ebb

  1. U.S. Stock Futures Edge Up

Stock futures on Tuesday pointed to a higher open on Wall Street as the 10-year U.S. treasury yield ticked up higher, easing fears of a slowdown in world’s biggest economy.

At around 6:40 a.m. ET, futures on the blue-chip Dow indicated a jump of 128.0 points, or 0.50% to 25,705. Futures on the tech-heavy Nasdaq 100 were up 30.13 points, or 0.41% to 7,385.38, while those on the S&P 500 rose 12.88 points, or 0.46%, at 2,819.88.

Elsewhere, China’s Hang Seng Index and the Shanghai Composite fell 0.1% and 1.5%, respectively. Japan’s Nikkei closed 2.2% higher.

Global markets jolted after the yield curve – which plots bond yields from shortest maturity to highest – inverted for the first time since 2007. Economists typically consider the curve as a barometer of economic sentiment.

  1. S. Consumer Confidence & Housing Data Out Today

U.S. Consumer Confidence gauge for March is expected to be released by The Conference Board at 10:00 a.m. ET. On average, analysts forecast a reading of 132.0 from 131.4 in reported last month.

On Tuesday, the U.S. dollar index was little changed at 96.10. The index is a measures of the strength of the dollar against a basket of U.S. trade partners’ currencies.

Elsewhere, the U.S. Commerce Department will release building permits and housing starts data at 8:30 a.m. ET. The S&P/Case-Shiller US home prices index and the Federal Housing Finance Agency Housing Price index will be published half an hour later.

  1. Uber Buys Careem For $3.1 Billion

Uber on Tuesday announced that it has reached a deal to buy Dubai-based ride-hailing competitor Careem for $3.1 billion – with $1.4 billion to be paid in cash and $1.7 billion in convertible notes. Although the transaction is still subject to applicable regulatory approvals, the companies expect to close it in the first quarter of 2020.

Founded in 2012, Careem sells ride-hailing services in more than 120 cities across the Middle East, South Asia, and North Africa. The value of the startup was reported to be approximately $2 billion when it raised $200 million last fall.

  1. Airbus Secures $35 Billion China Deal

Airbus has scored an order from China to deliver 300 planes, in a deal worth about $35 billion. Airbus and China signed the deal during Chinese President Xi Jinping’s visit to France, and includes ten A350 XWB jets and 290 A320 planes.

It comes as Boeing’s 737 Max planes continue to be grounded by various airlines around the world following two fatal crashes in a five-month span.