{
  "id": 9908503,
  "title": "Battered bonds draw support from falling oil prices",
  "url": "https://urgent.news/2026/09/26/battered-bonds-draw-support-from-falling-oil-prices",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-26T04:04:45.000Z",
  "source": {
    "name": "The Economic Times - Top News",
    "slug": "the-economic-times-top-news",
    "url": "https://economictimes.indiatimes.com/markets/us-stocks/news/battered-bonds-draw-support-from-falling-oil-prices/articleshow/134496754.cms"
  },
  "original_language": "en",
  "account": "US Treasury yields stabilised slightly on Friday as oil prices dropped, following a recent surge to multi-decade highs. Traders appear to be pricing in additional interest rate hikes by the Federal Reserve. Stocks, however, managed to stay buoyant due to sustained confidence in the AI sector. Oil prices fell approximately 3% on mounting optimism for a truce between the US and Iran, even as concerns grew over potential supply disruptions from Houthi fighters attacking Saudi Arabia. Despite the recent diplomatic progress in the Middle East, market participants remain skeptical about a normalization of global energy supply. The 10-year Treasury yield fell by 0.37 basis points to 5.158%, its lowest since 2007. The 30-year bond yield rose by 2.63 basis points to 5.4883%, marking the highest since 2004. The bond market's volatility index surged by around 30% this week, the most significant increase since April 2025. US consumer sentiment declined to a four-month low in September, reflecting worries that rising inflation would reduce households' purchasing power. In other parts of the world, Japan's 10-year bond yield hit 3.121%, a level not seen since 1996. Five out of the ten most influential central banks in the Group of 10 have already raised rates this month, with the remaining entities either signaling an upcoming increase or expressing concern about rising inflation. Despite the turmoil in the bond market, stocks have remained relatively resilient, with US stocks rallying on optimism about AI and expectations of improved Middle East energy supplies. Major stock indices, including the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite, all posted gains for the day. Microsoft's stock rose by 3.66%, lifting its 2026 gain to 7%, following the company's announcement of new features in its Copilot app, such as a coding tool and an always-on AI agent. Globally, MSCI's stock gauge rose by 0.53%, while the pan-European STOXX 600 index increased by 0.35%. The US dollar showed signs of optimism against the euro, though analysts predict that dollar strength will persist through the year-end and into 2027 due to favorable interest rate differentials, robust US growth, and heightened political risk in Europe.",
  "summary": "US Treasury yields fell slightly while oil prices decreased following hopes for a US-Iran truce. Stock markets remained strong, driven by optimism in the AI sector and potential energy supply improvements. Consumer sentiment in the US dropped to a four-month low due to inflation concerns affecting purchasing power. The dollar weakened against the yen but remained firm against the euro amid…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}