It's the first Friday of the month and there will be no jobs report this morning due to the U.S. government shutdown.

S&P 500 futures are up 0.2% this morning after a 0.9% drop in the index Thursday.

"I started the week by asking when lack of concern would start to feel like complacency and that threshold has been crossed already," says Société Générale strategist Kit Juckes. "If there is no political progress over the weekend, investors are going to start to get really concerned about the debt ceiling, though the other side of the coin is that a flurry of newswire headlines about an imminent announcement could, at any time, signal a change of mood. So we wait, frustrated and nervous."

In Europe, most stock indices are trading slightly lower from yesterday's close, with the exception of the French CAC 40 (currently up 0.1%) and the Italian FTSE MIB (currently up 0.9%).

Overnight, the Japanese Nikkei 225 fell 0.9%, the Hong Kong Hang Seng dropped 0.3%, and the Australian S&P/ASX 200 gave up 0.5%.

"10-year [U.S. Treasury] notes traded in the tightest range all week overnight, with most of flow skewed towards better selling generally," says Tom di Galoma, managing director at ED&F Man Capital. "No data in the U.S. today, so the focus will be on Washington developments once again, with the government shutdown and the looming debt ceiling crisis."

See Also:

Markets Are Crumbling All Around The World As Government Shutdown Gets CloseThe Weekend Is Over, US Futures Are Going Down, And Japan Is Getting SlammedA 10-Word Guide To How Screwed Up Things Are