|
| |
Market Wrap: Stocks, Bonds, Commodities |
|
|
| |
|
|
|
| |
On Wednesday, U.S. stocks came under further pressure, as hotter-than-expected inflation data boosted rate-hike expectations. The S&P 500 fell 86 points (-1.11%) to 7,718, while the Nasdaq 100 dropped 618 points (-2.02%) to 29,950 and the Dow Jones slipped 48 points (-0.09%) to 51,621.
U.S. data showed that the consumer price inflation rate accelerated to 3.7% year-on-year in September and the core inflation rate increased to 2.6% year-on-year, both higher than expected.
The U.S. 10-year Treasury yield jumped to 5.329% after the inflation print before settling at 5.194%.
Traders are now pricing in a 33% chance of the Federal Reserve raising interest rates by 25 basis points later this month, up from 22% a day earlier, according to the CME FedWatch Tool.
Most mega-caps closed lower, with Meta Platforms (META) falling 3.27%, Nvidia (NVDA) down 3.16%, Tesla (TSLA) down 2.15%, and Microsoft (MSFT) down 1.80%.
Semiconductor stocks slumped, with Advanced Micro Devices (AMD) sinking 5.73%, Intel (INTC) down 4.56%, Micron Technology (MU) down 4.10%, and Broadcom (AVGO) down 3.10%.
Other artificial-intelligence-related stocks also encountered selling pressure, with Dell Technologies (DELL) tumbling 11.34%, Lumentum (LITE) down 9.28%, Coherent (COHR) down 9.19%, and SanDisk (SNDK) down 5.33%.
Bank of America (BAC) dropped 4.73% after reporting lower-than-expected quarterly results and disclosing a charge of more than 1.2 billion dollars for regulatory penalties over anti-money-laundering failures.
Energy stocks stayed firm as oil prices kept advancing, with Chevron (CVX) adding 1.98% and ExxonMobil (XOM) up 1.68%.
Meanwhile, healthcare shares helped support the Dow Jones, with Eli Lilly (LLY) rising 3.62%, Merck (MRK) up 3.80%, and AbbVie (ABBV) up 3.32%.
European stocks closed higher, with the DAX 40 rising 0.15%, the CAC 40 up 0.58%, and the FTSE 100 advancing 0.70%.
U.S. WTI crude futures gained 0.95 dollars (+1.01%) to 95.09 dollars a barrel, posting a five-session winning streak. The headquarters complex of state oil giant Saudi Aramco in Dhahran was struck by Iran-backed Houthi militants.
Spot gold declined 55 dollars (-1.33%) to 4,105 dollars an ounce, extending its decline to a third session.
|
| |
|
|
|
|
|
|
|
|
| |
The U.S. dollar was lifted by hot inflation data, with the Dollar Index hitting an 18-month high on Wednesday. Meanwhile, the Fed’s newly released Beige Book also noted that inflation pressures picked up in parts of the country.
EUR/USD slipped down to 1.1113 on Wednesday before closing at 1.1156.
GBP/USD touched an intraday low of 1.3137 before climbing back to 1.3194.
USD/JPY was little changed at 158.33.
USD/CHF ran up to 0.8395 before retreating to 0.8351.
Bitcoin slid alongside risk assets, trading about 2% lower at 81,500 dollars.
|
| |
|
|
|
|
|
|
|
|
| |
In Asian trading hours, AUD/USD slipped to 0.6952. Australia's employment fell by 39,300 in September (vs +20,000 expected), while the unemployment rate remained unchanged at 4.7% (vs 4.6% estimated).
Meanwhile, USD/JPY dropped to 157.70. Japan's machinery orders rose 5.2% month-on-month in August (vs +3.0% estimated).
EUR/USD rebounded to 1.1215, and GBP/USD bounced to 1.3239.
Gold advanced to 4,144 dollars.
Bitcoin remained subdued at 80,910 dollars.
|
| |
|
|
|
|
|
|
|
|
| |
U.K. gross domestic product is projected to slip 0.1% month-on-month in August.
Eurozone's industrial production is forecast to be flat month-on-month in August.
In the U.S., the producer price index is forecast to rise 5.3% year-on-year in September, while retail sales are expected to grow 0.3% month-on-month. Also, initial jobless claims are expected to climb to 200,000 in the week ended October 10, and the Philadelphia Fed manufacturing index is projected to drop to 28.4 in October.
|
| |
|
|
|
|
|
