Bloomberg reports that US equity futures declined as several large technology companies reported quarterly results, with the technology rally driven by earnings expectations beginning to cool. Investor’s Business Daily notes that the market’s reaction to earnings beats has clearly weakened, indicating that expectations supporting the sector’s advance were substantially priced in ahead of the reports.
CNBC, The Wall Street Journal and Yahoo Finance reported that US stocks sold off broadly on Tuesday, with the Dow Jones Industrial Average dropping more than 500 points and the US 10-year Treasury yield climbing to its highest level since 2008. The 30-year yield simultaneously hit a fresh 24-year high, pushing mortgage rates higher and amplifying market concerns over sticky inflation and fiscal deficits.
CNBC reported that after the S&P 500 index hit a fresh record high, US stock futures were little changed during Asian trading hours as the market entered a wait-and-see mode ahead of key inflation and jobs data later this week.
According to CNBC, after the Nasdaq hit a new record high, US stock futures rose broadly across Asian trading hours. Investor expectations for Fed rate cuts and continued bullish outlook on AI sector drove market sentiment higher.
US stocks closed slightly lower on October 5, with the dollar strengthening and risk-off sentiment driving capital into dollar-denominated assets.
Bloomberg market wrap shows that the US Treasury market has stabilised after a string of selloffs, while the major US equity benchmarks continue to come under pressure.
Bloomberg and CNBC report that the US Treasury selloff has intensified with the 10-year yield hitting multi-year highs. In parallel, the Trump administration has rejected Iran’s latest diplomatic overture, layering geopolitical risk on top of rate pressure and pushing US stocks lower at the open. Investor focus has broadened from rates alone to a multi-factor repricing of the fiscal outlook, inflation expectations and Middle East risk, driving a phase of asset allocation and risk-preference adjustment.
The Nasdaq composite hit another all-time high on continued AI-driven tech strength, while oil fell for a fifth straight day and pressured energy names, leaving the S&P 500 essentially flat amid sharp sector divergence.
US equities closed lower for a second consecutive session, driven by a sharp rally in oil prices and the 10-year Treasury yield breaking above 5% for the first time in nearly 19 years. The combined shock of energy prices and bond selloff is reshaping global asset allocation and creating new constraints on the Fed’s policy path.
[Brief] CNBC reported on September 8 that US stock futures fell sharply at Monday’s open amid rising international oil prices, with Dow Jones futures dropping about 300 points and both S&P 500 and Nasdaq futures showing declines of varying degrees. The oil price increase was mainly driven by escalating geopolitical tensions in the Middle East and rising transport risks in the Strait of Hormuz. Investors are concerned that sustained high oil prices will push up inflation pressure and force the Federal Reserve to delay its rate-cutting pace. Asian markets came under pressure early in the session, with yen appreciation and Iranian warnings of retaliation further exacerbating risk-averse sentiment. ...