US stock futures fall

Bloomberg

US equity futures fall as risk aversion lifted bonds and havens following epochal six-month losses across major markets.
Contracts on S&P 500 and Nasdaq 100 pointed to extended declines for US stocks after the S&P 500 suffered its biggest first-half drop in over 50 years. The 10-year US Treasury yield slid below 3% to the lowest since early June. Every Group-of-10 currency fell against the dollar and the yen, traditional havens.
Risk assets continued to be the target of sellers Friday as recession worries overtake concern about runaway inflation. With Federal Reserve policymakers resolute on getting price growth back to their 2% target, investors are assessing the hit to the economy from harsh rate hikes.
“Inflation is the key focus of central bankers; investors losing money is way down their list of concerns,” Chris Iggo, chief investment officer at AXA IM Core, wrote in a note to clients. “Interest rate and inflation markets are taking the view that what is priced in terms of monetary tightening will be enough to bring inflation down, but in order for that to happen, there also needs to be a cost to growth.”
Both stocks and bonds were rocked by outflows this week, reflecting the anxiety about hawkish central bank policy. About $5.8 billion exited global stock funds in the week through June 29, Bank of America Corp. said, citing EPFR Global data. Bonds had redemptions of $17 billion, the data show.
Global companies have pulled more debt sales in the past six months than in all of 2020. More than 70 deals have been postponed or canceled so far in 2022, according to data compiled by Bloomberg.