Italian bonds and stocks selling off sharply, as a political crisis in Italy put markets on edge with fears among investors in one of Europe’s largest economies.
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Dow Jones futures are lower by 0.04%. The S&P 500 is down 0.06% and the Nasdaq Composite was up 0.11%.
Italy is embroiled in what some are calling a constitutional crisis after President Sergio Mattarella vetoed the appointment of a euroskeptic economy minister, recommended by a coalition of the populist 5 Star Movement and the League.
Party leaders from 5 Star called for Mr. Mattarella’s impeachment in response, according to the Wall Street Journal.
The Dow fell on Friday as a decline in oil and concern over a scuttled summit with North Korea made investors wary on the eve of the three-day Memorial Day weekend.
The Dow Jones Industrial Average lost 58.67 points, or 0.24%, to 24,753.09. The S&P 500 dropped 6.43 points, or 0.23%, to 2,721.33. The Nasdaq Composite was up 9.42 points, or 0.13%, at 7,433.85.
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Despite geopolitical tensions, the major averages closed the week in positive territory.
The Dow edged 0.15% higher on the week, while the S&P 500 rose 0.31%. The Nasdaq posted the largest gain at 1.08%.
Traders return to work on Tuesday where they’ll have a couple of reports to dissect.
One is the S&P Case-Shiller report on home prices. The other is consumer confidence.
The prospect of fresh elections in Italy, soured the mood of traders in Asia.
The Shanghai Composite is 0.6% lower.
The Hang Seng also traded 0.6% lower.
Japan’s Nikkei is down 0.7%.
FOX Business’ Leia Klingel and Matthew Rocco contributed to this article.
