Market Update: Bond Yields on the Rise

Headlines:

• Bond Movement: 10-year Treasury yields increase to 4.64% amid anticipation for insights from Federal Reserve Chief Jerome Powell on rate direction.
• Equity Fluctuations: The S&P 500 shows downward trend post Tesla’s (TSLA) Q3 delivery and production shortfalls, causing its stock to drop by 1.8%.
• Government Actions: A recent agreement to avert a U.S. government shutdown shifts market focus back to potential interest rate hikes and oil price-related inflation.
• Currency & Commodities: The U.S. dollar strengthens against its major counterparts. Gold prices decline, influenced by rising bond yields.
• Central Bank Comments: Powell is set to discuss alongside Philadelphia Fed’s Patrick Harker, following suggestions by the New York Fed’s John Williams that high interest rates may persist.

This Week’s Key Events:

• China observes a week-long holiday.
• Speeches by various Federal Reserve officials, including Jerome Powell, Patrick Harker, John Williams, and Loretta Mester.
• Announcements expected on U.S. ISM manufacturing index, Australia rate decision, Eurozone PMIs, and U.S. nonfarm payrolls among others.

Market Movements Snapshot:

• S&P 500 drops by 0.2%; Nasdaq 100 up by 0.3%.
• The Bloomberg Dollar Spot Index increases by 0.4%.
• Cryptocurrency watch: Bitcoin up by 4.7% at $28,376.97; Ether rises to $1,721.85.
• Commodities: WTI crude prices decline to $89.91/barrel; Gold trades at $1,852.60/ounce.