Why Treasury Yields Spiked Yesterday

What’s in Today’s Report:

• Why Treasury Yields Spiked Yesterday

Futures are modestly lower as markets digested the rally of the past two days, following underwhelming economic data and earnings overnight.

Nike (NKE) became the latest major company to cut guidance on margin concerns and supply chain issues and the stock dropped nearly 5% after hours.

Japanese flash manufacturing PMI missed estimates at 51.2 vs. (E) 52.0 mirroring the loss of momentum from global flash PMIs.

Today focus will remain on China headlines (although Evergrande is fading as a major market influence) and on multiple Fed speakers:  Mester (8:45 a.m. ET), Powell, Bowman, Clarida, George (10:00 a.m. ET), and Bostic  (12:00 p.m. ET).   Finally, we also get New Home Sales (E: 708K) but that shouldn’t move markets.