U.S. stock futures point to a mixed start
U.S. stocks look set for a mixed session on Tuesday after the Dow Jones Industrial Average and S&P 500 posted more record highs during the previous session.
As of 5:25 a.m. ET, futures tied to the Dow were indicated 46 points, or 0.14% to 32,804. The tech-heavy Nasdaq 100 futures rose 51.5 points, or 0.39% to 13,120.75 while the S&P 500 futures were little changed.
FOMC meeting in focus
The U.S. Federal Reserve kicks off its two-day monetary policy meeting today. Traders will be watching to see what the central bank will say regarding the recent jump in Treasury bonds, economic outlook, and concerns about rising inflation.
Fed boss Jerome Powell has repeatedly said in recent weeks that he wants to see substantial further progress in U.S. economic recovery before the bank starts to change interest rates or its program of purchasing $80 billion of Treasuries and $40 billion of mortgage-backed securities each month.
Biden reportedly planning to hike tax
Meanwhile, a new report published Bloomberg says that President Joe Biden is laying the groundwork for the first major federal tax hike since 1993 to help fund a long-term economic plan designed as a follow-up to his $1.9 trillion Covid-19 stimulus package.
According to the news outlet, the initiative could come at a cost of $2 trillion-$4 trillion and would be paid for through increases in both the individual rate for high earners and the corporate tax rate.
Biden’s target is to fund key initiatives like climate change and infrastructure, as well as expanding aid for poor families.
More countries suspend AstraZeneca Covid-19 vaccine
In other news, Germany on Monday joined Spain, Italy, and France in suspending the use of AstraZeneca (NASDAQ: AZN)’s Covid-19 vaccine after a number of countries reported possible serious side-effects.
Norway and Denmark halted use of the vaccine last week after isolated cases of blood clots, low platelet count and bleeding were reported. Iceland, Bulgaria, Ireland, Sweden, Latvia and the Netherlands has also suspended the shot.
As of writing, AstraZeneca stock was up 2.26% to $49.87 a share in the pre-market trading session.
