US Stocks indices were smashed on Wall Street yesterday as earnings reports from big tech firms disappointed investors and valuation concerns started to weigh on sentiment. All three of the major indices dropped to multi-month lows and investors are concerned there may be more of a correction ahead for markets.
US treasuries saw a steepening in the curve as the yield on short dates declined while the longer dates pushed higher, taking the gap between the 2-year and 10-year to its lowest inversion since October 2023.
Oil prices rallied after another dip in US stocks and Gold closed close to flat, having rallied earlier in the day.
Asian markets look set to open on the back foot after the poor day on Wall Street and traders are expecting a volatile day ahead, with the main focus in terms of data coming in the New York session again with a raft of US updates due out.
| Market | Change | Close |
| Dow | -1.24% | 39,858 |
| S&P | -2.31% | 5,427 |
| Nasdaq | -3.64% | 17,342 |
| USD | -0.12% | 104.35 |
| US Treasury – 2 Year | -3.5 bps | 4.410% |
| US Treasury – 10 Year | +3.9 bps | 4.278% |
| Oil – Brent | +0.9% | $81.71 |
| Oil – WTI | +0.8% | $77.59 |
| Gold | +0.1% | $2,411 |
Today’s Events:
European Session
- 6.00 pm – EU – German IFO Business Climate Data
US Session
- 10.30 pm – US – Quarterly Advance GDP Data
- 10.30 pm – US – Weekly Unemployment Claims Data
- 10.30 pm – US – Durable Goods Orders Data
- 1.00 am – EU – ECB President Christine LaGarde Speaks
