Dow futures higher; S&P, Nasdaq little changed

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[November 14, 2016]  By Tanya Agrawal

(Reuters) -
Dow futures were higher on Monday, after the index capped off its best week since 2011 following Donald Trump's unexpected victory in the U.S. presidential election.

S&P 500 and Nasdaq futures were little changed. Since Trump's triumph last Tuesday, investors have been betting on his campaign promises to simplify regulation in the health and financial sectors and boost spending on infrastructure.

The dollar index <.DXY> surged to an 11-month high as the risk of faster domestic inflation and wider budget deficits if Trump goes on a spending binge sent yields on U.S. Treasury and other benchmark global bonds higher.

Yields on the U.S. 10-year Treasury notes climbed to their highest since January on Monday at 2.30 percent <US10YT=RR>, while 30-year paper touched 3 percent.

Investors are now keeping an eye on who will be appointed to President-elect Trump's administration.

"Trump's transition will remain a big factor influencing financial markets the weeks ahead, especially as he starts revealing the names of people who will serve in his administration," said Hussein Sayed, chief market strategist at FXTM.

A host of U.S. Federal Reserve speakers are scheduled to make appearances on Monday including Dallas Fed President Rob Kaplan, Richmond Fed President Jeffrey Lacker and San Francisco Fed President John Williams.

Fed Chair Janet Yellen is scheduled to testify on the economic outlook before the congressional joint economic committee in Washington on Thursday.

The central bank is widely expected to raise interest rates at its December meeting, with traders pricing in an 81 percent chance, according to CME Group's FedWatch tool.

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Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., November 10, 2016. REUTERS/Brendan McDermid

Fed Vice Chairman Stanley Fischer said on Friday economic growth prospects appear strong enough for a gradual hike in interest rates.

Oil prices were at around three-month lows as the prospect of another year of oversupply and weak prices overshadowed chances that OPEC would reach a deal to cut output. [O/R]

Mentor Graphics surged 20.6 percent to $37 after Siemens agreed to buy the company in a $4.5 billion deal.

Pfizer <PFE.N> was up 0.9 percent at $32.90 after a study showed that the drugmaker's arthritis drug was shown to be at least as safe as the widely used prescription-strength versions of painkillers ibuprofen and naproxen.

(Reporting by Tanya Agrawal; Editing by Saumyadeb Chakrabarty)

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