Futures prices decline as key averages extend losses to begin the week.

As a result of the Bank of Japan's announcement to expand its yield target range, stock market futures reversed course and declined on Tuesday morning.

Futures associated with the Dow Jones Industrial Average fell 236 points, or 0.72%. Futures on the S&P 500 and Nasdaq 100 declined by 0.86 and 1.05 percentage points, respectively.

During regular trading on Monday, the Dow lost more than 162 points, or around 0.5% of its value. The S&P 500 plummeted 0.9%, while the Nasdaq Composite fell 1.4%. The market is poised to finish the month and the year in the red, and investors' hopes for a Santa Claus bounce are rapidly vanishing.

"Santa Claus has yet to be seen. "Fasten your seat belts," said Louis Navellier, the founder of the firm Navellier & Associates, which specializes in growth investing. "One hopes all the terrible news has been reported. The next Fed action is not expected until at least February. We are not gapping down, but we are also not recouping the losses from last week.

Investors were troubled by concerns that the Federal Reserve could trigger a recession. Last week, the central bank increased its benchmark interest rate by 50 basis points, and policymakers predicted the terminal rate may reach as high as 5.1%.

Other central banks in hawkish mode exerted more pressure on markets, with the European Central Bank increasing interest rates and its outlook for additional hikes last week.

"More than ninety percent of central banks have raised interest rates this year, an unprecedented (mainly global) concerted effort," said Lawrence Gillum, fixed income strategist at LPL Financial. "The great news? We believe that the conclusion of these rate-hiking cycles is near, which could reduce the headwind we've witnessed on global financial markets this year.

This week, prior to the Christmas break, quarterly results will be released by a handful of large corporations. Tuesday before the bell, General Mills will report. Nike and FedEx are slated to report earnings after the bell.

Tuesday morning will see the release of the November housing starts report. This week will provide a wealth of housing business insights. On Wednesday and Friday, respectively, sales information for existing and new homes will be disclosed.

Friday will see the release of the November personal consumption expenditures report, the Fed's favored inflation gauge.