US stock futures fall after worst month since 2020

US stock futures fell, suggesting that the turmoil in the markets could extend into May after major indexes posted their worst month since the pandemic began.

S&P 500-related futures fell 0.3% after the market’s index closed 3.6% lower on Friday. Nasdaq 100 futures fell 0.5%, indicating further declines for technology stocks after the opening bell.

Investors are waiting for the Federal Reserve’s monetary policy meeting on Wednesday for more indications about the pace of monetary tightening, as markets anticipate another rate hike to counteract the highest inflation rate in decades. The war in Ukraine And the Covid-19 outbreak in China threatens to further entangle supply chains and drive prices further.

“It’s a tense, tense market,” said Sebastian Galle, macro strategist at Macro.

Nordea Asset Management.

NDA.FI -1.35%

“It has been fueled by liquidity for a long time and that has been built within expectations for stocks,” he said, a situation that is now changing as central banks tighten monetary policy.

The S&P 500 fell 8.8% and the Dow fell nearly 5% in April, worst monthly performance Since March 2020. The Nasdaq Composite has fallen more than 13% last month, its worst showing since October 2008. Tech stocks particularly Sensitive to high interest rates.

The yield on the benchmark 10-year Treasury rose to 2.914% from 2.885% on Friday, rising for a fourth consecutive trading session. The US dollar held on to its recent gains, with the WSJ Dollar Index up another 0.1% after its biggest monthly jump in a decade.

Expedia

And

Clorox

CLX -3.28%

Results are due to be published on Monday after markets close.

PfizerAnd

KKRAnd

AirbnbAnd

Starbucks

And

Lift

scheduled for Tuesday, and

ModernaAnd

Marriott International

And Uber on Wednesday.

Kellogg

And

Apollo Global Management

It is scheduled for Thursday.

earnings season It’s been reasonably strong so far, with more than 80% of companies reporting analyst expectations so far, according to Refinitiv. Investors said stocks fell last month though, due to nervousness over the coming months.

In pre-market trading, Moody’s shares fell about 8% after the credit rating company said its profits fell by about a third as costs rose.

Oil prices fell. Brent crude, the global benchmark, fell 3.2 percent to trade at $103.67 a barrel. EU officials are working on a proposal for Punishment of Russian energy. And some question its passage because it would require unanimous support from European Union members, many of whom depend on Russian energy, according to analysts at Nordic Bank SEB. The benchmark for natural gas in Western Europe was down 3%.

Traders are also watching the shutdowns in China and looking forward to the OPEC+ meeting later this week, where members are set to discuss its supply agreement.

The Stoxx Europe 600 Continental Index is down 1.3%. Data releases showed German retail sales fell in March, when economists expected an increase and consumer confidence in the European Union fell more than expected. wind turbine maker

Vistas Wind Systems

It fell more than 8% after Steering cut for a whole year It reported a larger-than-expected loss due to asset writedowns in Russia and Ukraine. The UK stock market is closed for a holiday.

In Asia, most major benchmarks declined moderately. South Korea’s Kospi was down 0.3% and Japan’s Nikkei 225 was down 0.1%. Markets in China and Hong Kong are closed for the Labor Day holiday.

ISM is expected to release PMI surveys by manufacturing in the US in April at 10 a.m.

Write to Anna Hirtenstein at anna.hirtenstein@wsj.com

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