Stock futures fall as key indices open the week in the red.

The reversal in the direction of stock futures on Tuesday morning came after the Bank of Japan declared it would expand its yield target range.

Dow futures fell 236 points, or 0.72 percent, on the news. Futures for the S&P 500 and the Nasdaq 100 both dropped by 1.05% and 0.86%, respectively.

Monday's normal trading session saw the Dow Jones Industrial Average drop by more than 162 points, or around 0.5%. There was a drop of 0.9% on the S&P 500 and over 1.5% on the Nasdaq Composite. Expectations for a Santa Claus surge are quickly diminishing as the stock market seems set to close the month and the year in the red.

However, Santa has not yet been spotted. "Fasten your seatbelts," said Louis Navellier, CEO of growth investment firm Navellier & Associates. Ideally, one would assume that all the negative news has already been reported. The next Fed action won't come until at least February. We aren't gapping down, but we also aren't making up for last week's declines.

Investors were concerned that the Federal Reserve could trigger a recession. The federal funds rate was increased by 50 basis points just last week, and policymakers have hinted that the terminal rate may eventually reach 5.1%.

The European Central Bank's rate hike and projection for further hikes last week added to the pressure on traders from other hawkish central banks.

According to LPL Financial's fixed income strategist Lawrence Gillum, "almost 90% of central banks have lifted interest rates this year, making the (largely worldwide) concerted effort unprecedented." The Good News Is... For this reason, we believe that the headwind that has been seen on global financial markets this year may begin to abate as we near the end of these rate increasing cycles.

A few major corporations will release their quarterly results this week before the holiday break. On Tuesday, General Mills will report before the market opens. After the closing bell, we can expect to hear from Nike and FedEx.

Data on home starts in November will be released Tuesday morning as part of the economic news. There will be plenty of interesting property market developments this week. On Wednesday and Friday, respectively, we will see the release of existing house sales data and new home sales data.

The Federal Reserve's favorite inflation gauge, the personal consumption expenditures report for November is expected out this coming Friday.