Stock futures are flat as Wall Street focuses on tense debt ceiling negotiations

European stocks lacked direction on Monday morning as investors waited for the latest news on US debt ceiling talks, with the Stoxx 600 index up 0.07% at 8:12 am London time.

Mining, oil and gas and banking stocks were the biggest losers, all down about 0.5%.

Household goods and health care performed even better, up 0.5%.

Germany’s DAX fell 0.12% from Friday’s record close, while France’s CAC fell 0.08%. The UK’s FTSE 100 index rose 0.25%.

Japan’s core machinery orders fell 3.9% from the previous month in March, more than expected.

Economists polled by Reuters expected a rise of 0.7% from the previous month.

Compared to the previous year, orders for printing machinery were expected to increase by 1.4%, while machine orders also decreased by 3.5%.

Japan’s machinery orders in February increased 9.8% year-on-year.

— Lee Ji-hye

China’s Cyberspace Administration has banned Chinese “critical information infrastructure” operators from purchasing products from US memory maker Micron.

This looks like This was announced by the China Cyberspace Administration. Micron announced that it had failed a network security review because it had “serious potential problems with network security.”

It added that this “posed and impacted the supply chain of China’s critical information infrastructure with significant security risks.” [its] international security. “

The cyberspace authority did not specify which products would be banned or what security issues Micron products had at the time of their release.

Shares of South Korean rival Micron rose Monday morning following the announcement, with SK Hynix up 1.54% and Samsung Electronics up 0.5%.

— Lim Fuijie

of People’s Bank of China has left the base lending rate unchanged for nine consecutive months.

China kept its one-year loan prime rate unchanged at 3.65% and its five-year loan prime rate at 4.30%, matching expectations of economists polled by Reuters.

China’s domestic yuan fell 0.2 percent against the US dollar to 7.0205 yuan.

— Lee Ji-hye

Bank of America strategist Savita Subramanian raised his year-end target for the S&P 500 to 4,300 from 4,000 on Sunday night.

The new target is more than 2% higher than the index’s closing price on Friday. In a memo, Subramanian said the recent focus on efficiency by big companies should help stabilize earnings going forward.

For more on this conference call and other Wall Street predictions, watch CNBC Pro.

— Jesse Pound

Federal leaders are expected to continue negotiations on the debt ceiling on Monday as the US approaches the possibility of default.

President Joe Biden and Speaker of the House Kevin McCarthy (Republican, California) will meet in person at the White House.

Treasury Secretary Janet Yellen said Sunday she will have to make “hard choices” about which bills will go unpaid if the debt ceiling isn’t raised, putting the US in default as early as June 1. I reconfirmed the warning that there is a possibility.

— Jesse Pound, Ashley Caputo

Equity futures fell on Sunday evening, with Dow futures down about 0.2% and S&P 500 and Nasdaq 100 futures down about 0.3%.

— Jesse Pound