The stocks are opening lower after better retail sales have pushed up yields, especially in the shorter end. The market seems to like lower yields vs. better growth. Fed’s Waller yesterday poured some cold water on rates moving lower sooner rather than later. The market is still focused on the idea that the Fed has room to cut given the more recent decline in inflation. Fed officials are less convinced.
- 2-year yield 4.343% +11.4 basis points
- 10-year yield 4.101% +3.6 basis points
- 30-year yield 4.317% +1.3 basis points
The rise has pressured the NASDAQ indice the most. It is down over -1.2%
A snapshot of the market shows:
- Dow Industrial Average -125.92 points or -0.34% at 37234
- S&P index is down -37.06 points or -0.78% at 4729.47
- NASDAQ index is down -180 points or -1.26% at 14757
Recall the S&P index last week tested its all-time high closing level at 4796.57 (and even moved above the 4800 level briefly intraday), but could not sustain momentum. Back at the end of December the story was the same with seller all-time high close.
In other markets as US stock trading gets underway:
- Crude oil remains lower by $-1.30 at $71.16. The price moved lower earlier today after China data disappointed.
- Gold is down $-7.90 or -0.39% at $2020.21. The higher dollar higher yields are pushing the price lower
- Silver is down $0.24 or -1.08% at $22.65
- Bitcoin is trading at $42,466. At the start of the session, the price was trading at $42,722