Wall Street to start higher despite bond yield pressure

US futures are pointing at a higher start, but tech stocks are once again under pressure amid rising bond yields and increased expectations for higher interest rates. Nonetheless, tech-rich Nasdaq is called 72 points higher, while the Dow Jones and the S&P 500 are expected to add 16 and 7 points respectively. “After yields surged to a 14-month high yesterday, dragging the tech-heavy Nasdaq sharply lower, today’s pause in the bond-market sell-off is seeing demand for tech stocks rebound,” said Sophie Griffiths, analyst at OANDA. “With little on the US economic calendar to distract investors, sentiment and inflation expectations will be under the spotlight. As long as 10-year treasury yields can remain depressed around the 1.70% level, we could be looking at a more upbeat end to the week.” In company news, FedEx reaped the benefits of the shift to online shopping and posted a 23% jump in fourth-quarter revenue to US$21.5bn, much higher than the US$19.9bn forecast, though bad weather caused a US$350mln drop in operating income. The delivery company expects international express solutions and e-commerce demand to stay strong in the short-term even as restrictions are eased. Four things to watch for on Friday: There’s very little in the earnings diary for Friday, however, investors will be keeping an eye on post-results share price reaction from both Nike Inc (NYSE:NKE) and FedEx Corp (NYSE:FDX) Winemaker Duckhorn Portfolio Inc (NYSE:NAPA) could also draw attention again following yesterday’s IPO which saw it make a strong start to life as a public company Banking giant Goldman Sachs Group Inc (NYSE:GS) may also find itself in the spotlight amid a revolt from some of its junior bankers over its incredibly long working hours The political realm could also draw attention as the US and China continue their contentious summit in Alaska