U.S. Treasury yields advanced and stocks skidded after Fed Chairman Powell suggested that higher rates may be necessary to weaken inflation to the target level.
Stock market indexes struggled to advance after U.S. Treasury yields retained an upward bias and hovered near 16-year highs ahead of comments from the Fed Chairman Powell.
Market averages accelerated their declines on the interest rate uncertainties and the prospect of a wider conflict in the Middle East. Rising energy prices contributed to market jitters as the 10-year U.S. Treasury yield advanced to a 16-year high.
Caution prevailed on Wall Street and Treasury yields rebounded following a surge in crude oil prices. Mortgage applications dropped to a 28-year low as buyers struggled with higher home prices and elevated mortgage rates.
Stocks struggled after Treasury yields rebounded following the rise in September retail sales suggesting resilient consumer spending despite elevated interest rates and inflation.
Benchmark indexes in Europe trended down and investors reviewed the latest batch of earnings. German investor sentiment improved on the expectations of stable interest rates and additional weakening of inflation.
Benchmark stock indexes jumped more than 1% and short term U.S. Treasury yields stayed well above 5% and crude oil stayed elevated as the prospect of a wider war in the Middle East escalated.
With earnings season kicking in the high gear, investors reacted to corporate news. Energy prices turned volatile on the ongoing geopolitical crisis in the Middle East.
JPMorgan Chase, Wells Fargo and Citigroup passed on higher interest rates to customers but not to depositors. Three largest banks reported a surge in net interest income and fees and lower-than-expected credit losses.
Benchmark indexes turned lower after advancing for four days in a row after Treasury yields rebounded and crude oil drifted higher in volatile trading.
The annual consumer price inflation held steady and annual core inflation dropped to a two-year low in September, after softer decline in energy prices offset weakening inflationary pressures in goods and services.
Benchmark indexes closed higher for the fourth day in a row after Treasury yields edged lower from 16-year highs. Investors are looking ahead to the release of the consumer price index on Thursday.
Stocks on Wall Street attempted a rebound for the third day this week after Treasury yields edged down. Wholesale inflation edged lower in September from the previous month but accelerated from a year ago for the third month in a row.
Tech stocks led gainers for the second time this week after yields on U.S. Treasury notes eased. Natural gas prices in Europe soared for the second day in a row on supply worries.
