On the 10th, US stock prices continued to rise for the third consecutive day. US bond yields fell. The comments from US financial officials have led to speculation that the Federal Open Market Committee (FOMC) is heading for another pause in interest rate hikes. New York crude oil futures fell. The day before, it had reached its highest level since April.
Stock closing price change rate from previous business day S&P 500 stock index 4358.2422.580.52% Dow Jones Industrial Average 33739.30134.650.40% Nasdaq Composite Index 13562.8478.600.58%
Some analysts said the S&P 500’s rise was a rebound from oversold levels. Amazon.com, which has started its fall sale for Prime members, is expensive. PepsiCo also rose after giving a bullish outlook. An index of Chinese stocks listed on the U.S. market rose 3.1%. China is preparing a new economic stimulus package, Bloomberg News reported.
Atlanta Fed President Bostic reiterated his view that there is no need for the Fed to raise interest rates any further and that monetary policy is sufficiently suppressive to bring inflation back to the Fed’s 2% target. Federal Reserve Board member John Waller said in a speech that the U.S. monetary authority is determined to return inflation to its 2% target. He did not discuss the short-term outlook for interest rates.
Atlanta Fed President: No need for further US interest rate hikes – enough to suppress economy
Fed Director Waller says officials are determined to return inflation to target of 2%
“Given the recent spike in U.S. Treasury yields and the appreciable tightening of financial conditions, policymakers are beginning to accept that the need for further policy action has diminished,” said Ben Jeffrey of BMO Capital Markets. pointing out. “This recognition may be easing concerns about the need for further rate hikes,” he said.
us debt
US Treasuries are rising. The yield on the 10-year Treasury note at one point fell more than 18 basis points (bp, 1bp = 0.01%) to 4.62%. The interest rate swap market is currently pricing in a 60% probability that interest rates will be left unchanged at the December FOMC meeting. Just a week ago, there was a 60% chance of another rate hike by the end of the month.
Government bond latest trading day rate (bp) change rate U.S. 30-year bond yield 4.84%-13.2-2.66% U.S. 10-year bond yield 4.66%-14.2-2.95% U.S. 2-year bond yield 4.97%-11.2-2.20% US East Time 16:51
Lauren Goodwin, economist and portfolio strategist at New York Life Investments, said: “The risks to the September U.S. Consumer Price Index (CPI), which will be released this week, are on the upside, as it reflects movements in individual items such as auto prices. Investors are deeply concerned about rising energy prices.”
Although there was still a possibility of further rate hikes, he explained that financial market conditions were tightening, reflecting heightened risks in the real economy, government funding, and geopolitical trends. “This may be enough for the Fed to keep interest rates on hold.”
foreign exchange
The dollar index fell for the fifth straight day, the longest streak of decline since July. The decline in U.S. Treasury yields was on the back of speculation that U.S. financial officials are signaling a pause in the tightening cycle.
The dollar rose slightly against the yen, rising 0.4% to 149.10 yen per dollar.
Exchange Rate Last Business Day Change Rate Bloomberg Dollar Index 1265.41-3.44-0.27% USD/JPY ¥148.73 ¥0.220.15% EUR/USD $1.0605 $0.00380.36% 16:51 ET
The Norwegian krone was weak on this day. The country’s inflation statistics showed an easing of price pressures.
The Israeli shekel remained almost unchanged against the dollar. At one point, prices rose by about 1%. Israel’s central bank is trying to limit the impact on markets from fighting with the Islamic group Hamas.
crude
New York crude oil futures prices are falling. Selling became predominant as the market was absorbing the impact of Hamas’s surprise attack on Israel.
Dennis Kistler, senior vice president at BOK Financial Securities, said: “If the fighting between Israel and Hamas escalates, it is only a matter of time before oil producing countries are affected. All eyes will be on Israel’s movements and intentions toward Iran.” Probably.”
While Israel and the Gaza Strip have little influence on global oil markets, the Middle East accounts for about a third of global supply and markets are concerned about potential threats. The main risks include tougher US sanctions on Iranian oil exports, as well as blockades of major oil routes and attacks on ships. The conflict could also change the game for a potential security agreement between the United States, Saudi Arabia, and Israel.
West Texas Intermediate (WTI) futures for November on the New York Mercantile Exchange (NYMEX) fell 41 cents (0.5%) from the previous day to $85.97 per barrel. Brent December contracts fell 50 cents to close at $87.65.
Money
The New York spot gold market fell slightly. The day before, the price had risen due to escape demand due to Hamas’s attack on Israel, but on this day, profit-taking selling became dominant.
As of 1:47 pm New York time, the spot price was $1,858.75 per ounce, down 0.1% from the previous day. Gold futures for December on the New York Mercantile Exchange (COMEX) rose $11, or 0.6%, to close at $1,875.30.
Original title:Stocks Rise as Wall Street Dials Back Fed Wagers: Markets Wrap(excerpt)
Dollar Gauge Falls, 0n Track for Fifth Down Day: Inside G-10（抜粋）
Oil Steadies Near $86 After Initial Jolt From Israel-Hamas War(excerpt)
Spot Gold Edges Lower as Markets Mull Rate Pause, Middle East(excerpt)
2023-10-10 20:52:00
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