Market Overview Following Federal Reserve Update

• Stocks: After the latest jobless claim readings bolstered the Federal Reserve’s sustained approach, stock futures took a hit. S&P 500 is likely to fall below 4,400 while Nasdaq 100 futures are down by over 1%. Notably, Cisco Systems Inc. (CSCO) shares went down after its $28 billion acquisition of Splunk Inc. Alphabet Inc. (GOOG) is rethinking its association with supplier Broadcom Inc. (AVGO), which led to Broadcom’s shares falling. On the brighter side, FedEx Corp. (FDX) showed promise with an optimistic outlook.
• Bonds and Currency: The US Treasury 10-year yields are reaching their highest since October 2007. The dollar is showing strength, climbing against most major currencies except for the yen. This places the yen near a significant 150 level, which might be seen as a cue for intervention. Following the Bank of England’s decision to keep rates stable for the first time in nearly two years, the British pound dropped. Additionally, Germany’s benchmark yields surged to a 12-year high.
• Cryptocurrencies: Bitcoin is currently valued at $26,601.98, showing a 1.8% decline, while Ether is down by 2.2% at $1,588.36.
• Commodities: West Texas Intermediate crude oil shows a 0.6% increase, priced at $90.22 a barrel. Gold, however, is down by 1.5%, costing $1,937.10 an ounce.