Market Update 20/09/2024
It was a ‘risk on’ on global markets after yesterday’s 50bps rate , raising optimism that the Fed can achieve a soft landing. US Treasury Secretary Yellen echoed this sentiment, calling the Fed’s action a positive step for the economy, while noting that policy remains restrictive. Equities saw gains across the board, with the S&P 500 up 1.9% and hitting a record high. The Euro Stoxx 50 climbed 2.2%, and the FTSE 100 rose by 0.9%. The US yield curve steepened, as 2-year yields fell by 2.3bps to 3.59% and 10-year yields rose by 2.3bps to 3.73%.
Market Update 19/09/2024
The FOMC cut by 50bps overnight although a balanced press conference from Chairman Jerome Powell drove only minor movements on Wall St. The Dow Jones and the S&P 500 both closed -0.2%, while the Nasdaq closed -0.3%. U.S. 10-year yields rose 7bps to 3.71%, while crude oil fell 1.7% to $70a barrel. The USD was volatile although AUD/USD ultimately ended at 0.6765/70 after trading in a volatile 0.6742/.6820 range.
Market Update 18/09/2024
Another quiet session ahead of the tomorrow mornings key FOMC meeting saw the Nasdaq close +.2%, the S&P 500 +.1%, and the Dow Jones unchanged. U.S. 10-year yields edged higher, while crude oil rose 1.7% to $71.30 a barrel. AUD/USD traded in a narrow 0.67415/.67685 range before settling at 0.6755/60 ahead of the Asian open. Into the London lunch and greenback found some support, the DXY trading back towards 100.70. The antipodes sat 10 points off 0.6769 and 0.6211 highs as EUR/USD and GBP/USD held steady. USD/JPY traded either side of 140.60 and US equities looked set to open 0.2% higher.
Market Update 17/09/2024
A quieter session saw mixed results on Wall St. with the Dow Jones closing +0.5%, the S&P 500 +0.1%, and the Nasdaq -0.5%. U.S. 10-year yields fell 3bps to 3.62%, while crude oil rose 2.7% to $70.50 a barrel. USD remained soft which saw USDJPY briefly trade through 140, while AUDUSD closed at the top end of its 0.6700/54 range.
Market Update 13/09/2024
Equities moved higher as the latest economic data didn’t significantly impact expectations for Fed rate cuts. Most major sectors in the US market saw gains, with both large and small caps outperforming the broader index. The S&P 500 rose by 0.8, while the Nasdaq 100 gained 1.0%. The “Magnificent Seven” mega-cap stocks advanced 1.5%. In Europe, the Euro Stoxx 50 increased by 1.1%, and the FTSE 100 closed 0.6% higher. The yield on the US 10-year Treasury inched up to 3.67%.
Market Update 11/09/2024
US equities showed mixed performance ahead of the key CPI data release tonight (NZT). The S&P 500 was up 0.3%, the Dow Jones down 0.3%, and the NASDAQ gained 0.7%. In Europe, the Euro Stoxx 50 dropped 0.7% and the FTSE 100 declined 0.8%. Meanwhile, the yield on the US 10-year fell by 6 bps to 3.64%.
Market Update 10/09/2024
Markets had a quiet start to the week, with no major data releases and the FOMC in blackout. Dip buyers returned to the US stock market, helping it recover from last week’s declines. Most stocks gained, with the S&P 500 rising around 1%. In Europe, the Euro Stoxx 50 closed up 0.9%, and the FTSE 100 increased by 1.1%. US Treasuries saw little change from last week’s close, with the 10-year yield down 1 bps to 3.70%.
Market Update 05/09/2024
Global equities were mostly lower, with the S&P 500 down 0.4%. The Euro Stoxx 50 and FTSE 100 ended the day down 1.3% and 0.3%, respectively. The US yield curve briefly reverted to a positive 2-year to 10-year spread, but it has since flattened again, and the yield on the US 10-year Treasury fell by 5 bps to 3.76%.
