US stocks end slightly lower as bond yields hold near multi-decade highs
Rising crude and diesel prices have stoked inflation worries and pushed US Treasury yields higher, led by the 30-year yield at 5.6206%.
US stocks dipped marginally on Tuesday, as bond yields remained elevated ahead of economic data releases and Federal Reserve officials' remarks on interest rates. Longer-term Treasury yields climbed, with the 30-year bond reaching 5.6206%, its peak since June 2002, while the benchmark 10-year bond rose to 5.293%—the highest since June 2007.
Stocks recuperated slightly as yields softened and shorter-duration yields declined on the day due to falling oil prices and comments from Federal Reserve Bank of New York President John Williams. Williams indicated the Fed has time to review data before deciding on additional rate hikes. Anticipation of a 25-basis-point rate increase at the upcoming October meeting fell to 51.5%, down from nearly 70% earlier in the session.
Oil prices rebounded in recent days, driven by hopes of a US-Iran peace deal, which has diminished, leading to higher crude and diesel fuel prices and fueling inflation concerns. This, coupled with Fed officials' hints at more rate hikes if inflation pressures persist, contributed to the stock market's slight decline. Key economic data, including the Personal Consumption Expenditures Price Index on Wednesday and Friday's payrolls report, will influence Federal Reserve policy.
Market participants remain cautious about consumer sentiment, with higher rates and fuel costs squeezing households.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
- US equities end slightly lower as bond yields hold near multi-decade highs businesstimes.com.sg
- US stocks end slightly lower as bond yields hold near multi-decade highs freemalaysiatoday.com
- Equities end slightly lower as bond yields hold near multi-decade highs straitstimes.com
- Equities end slightly lower as bond yields hold near multi-decade highs investing.com
- US stocks: US market ends lower as bond yields hold near multi-decade highs economictimes.indiatimes.com
- Oil down, but stocks lower as bond yields rise channelnewsasia.com
