stocks, Moodys and Treasury
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U.S. stock futures point to a lower open, a day after stocks made a comeback to close higher despite Moody's stripping the U.S. of its top AAA rating.
CNBC's 'Mad Money' host and veteran market commentator Jim Cramer has urged investors not to get nervous in the face of concerns like the Moody’s downgrade of U.S. debt . The U.S.'s rising debt stands at $36 trillion as of now.
A dip in the stock market caused by the Moody’s downgrade of the U.S. debt should be bought, according to a once-pessimistic and now seemingly bullish strategist.
The stock market didn’t notice. The S&P 500 secured its sixth winning day in a row and the Dow added 137 points. Equity investors at this point seem numb to both fiscal calamity and shaky economic sentiment. Bond traders, meanwhile, responded differently.
Gift Nifty was trading around 25,076 level, gaining nearly 85 points from the Nifty futures’ previous close, indicating a positive start for the Indian stock market indices.
For a minute there, it looked like the “Sell America” trade was poised to make a comeback on Monday after Moody’s decided to strip the U.S. of its top-tier credit rating late Friday.
US stocks managed to eke out gains on Monday as bond yields eased off bigger gains and Wall Street largely shrugged off Moody's downgrade of the US credit rating. Meanwhile, investors digested developments in President Trump's tariff salvos.
Investors faced yet another bumpy start to the trading week with US assets coming under fresh pressure, although it’s mounting concern over American debt rather than tariffs generating volatility this time.