Stock Market Update

U.S. equity futures remain mired deep in negative territory as the market deals with the aftermath of the Moody's rating downgrade, which will force pension funds and other large investors to recalibrate their holdings according to their internal risk guidelines.

The early weakness in the broader market is prompting some dip-buying in countercyclical health care sector components with UnitedHealth (UNH 304.05, +12.14, +4.2%) seeking a sharply higher start after reaching a five-year low last week.

Treasuries started the session in the red with the 30-yr yield pushing above the 5.000% mark. The 30-yr yield is up 12 basis points at 5.02% while the 10-yr yield is up ten basis points at 4.54%.