U.S. stock-index futures fell, indicating equities may drop, as Federal Reserve Bank of Dallas President Richard Fisher said the central bank should raise rates.
Contracts on the Standard & Poors 500 Index expiring in March retreated 0.5 percent to 2,066.7 at 9:41 a.m. in London. Stocks rose amid corporate deals Monday, as equities entered the seventh year of a bull run, pushing the S&P 500 valuation near a five-year high. Dow Jones Industrial Average futures fell 85 points, or 0.5 percent, to 17,885 today.
In his last speech at the helm of the Fed branch, Fisher said the central bank should begin to gradually raise rates before the economy reaches full employment to avoid triggering a recession.
Concern the Fed may start raising interest rates this year amid a strengthening economy has weighed on equities. The S&P 500 fell 1.6 percent last week, the most since January, as data showed the jobless rate reached the central bank range for what it considers full employment. Policy makers next meet on March 17-18.
Source : Bloomberg