At a Thursday open, let's go out to Chicago to see what traders are watching. FinTech TV correspondent Mark Payton is live from Cboe's trading floor this morning. Good morning, Mark. Happy Thursday to you. A lot going on not just in the U.S. but also around the globe. So what are you tracking in the premarket today?
Yeah. Good morning. I mean we're seeing some pressure ahead of the opening bell this morning. S&P futures are down about 6/10 of a percent. And one of the biggest stories this morning continues to be the bond market. The ten year Treasury yield is around 5.1 after another sharp move higher in yields. That's creating another headwind for equities as investors try to figure out inflation concerns and the possibility of another move from the Fed.
I'm also watching the Russell 2000. Small cap futures are around 2830, down roughly 3/10 of a percent this morning. Small caps tend to be more sensitive to borrowing costs. So with yields this high, RUT is an important one to watch here at Cboe today. And then there's volatility. VIX futures are up this morning.
So we'll be watching to see whether volatility continues to pick up as we get closer to the opening bell. So right now the picture here at Cboe is equity futures under pressure. Treasury yields elevated. And investors watching just how much these higher rates weigh on the broader market. Remy.
Yeah. And I do want to get your take on Meta. So the event taking place yesterday with Mark Zuckerberg. But what do you make of Meta's latest announcement. And what about Meta news?
Yeah, I mean I think really there are two parts of this story, right? So first, it's Muse and this idea of consumer inertia. Consumer inertia sounds complicated, but it's actually pretty simple. It's the tendency for consumers to stay with the same bank, insurance company, phone provider or subscription, sometimes simply because switching just takes time and effort.
So Muse potentially changes that. So this is an AI agent that can actually do things for you, including shopping, booking travel, filling out forms and completing other tasks. So Wall Street is asking what happens to companies that benefit from customers simply staying put? If AI suddenly makes it much easier to shop around?
And we saw those concerns hit some of those so called consumer inertia stocks earlier this week. But the second part of the story is hardware. So Meta used its Connect event to introduce a new generation of AI powered devices, including camera free Ray Ban Meta audio glasses, new Ray Ban Meta smart glasses, and the new Muse Charm, a small standalone device built around its AI assistant.
And that's what makes this bigger than just another AI chatbot. Meta is trying to put AI devices that people can actually wear or carry with them throughout the day. So for investors, the bigger question may be whether Meta can turn Muse from an AI assistant into the foundation of a much broader AI hardware ecosystem.
Well, Mark, we'll see how all of this plays out. Appreciate your time this morning. Thank you so much for joining us from the Cboe.
Thank you.
