US stocks end slightly lower as 10-year yield hits 2007 high
The S&P 500, Nasdaq and Dow all finished lower as the 10-year Treasury yield rose to 5.293%, its highest since June 2007. JOLTS job openings fell and consumer confidence dropped to a nearly 12-1/2-year low.
(Updates with market close) Consumer confidence plunges to nearly 12-1/2-year low in September, Conference Board says CarMax jumps after posting higher second-quarter profit, revenue FICO slumps as housing regulator pushes for single pricing framework By Chuck Mikolajczak NEW YORK, Sept 29 (Reuters) — US stocks ended the session slightly lower on Tuesday, as government bond yields continued their ascent ahead of inflation and labor market data, while investors assessed comments from Federal Reserve officials for the path of interest rates. 6206%, its highest since June 2002. 293% — its highest level since June 2007.
Those yields eased from their earlier highs and shorter-duration yields were down on the day, however, as oil prices retreated on signs of a recovery in exports from the Middle East and comments from Federal Reserve Bank of New York President John Williams, who said the US central bank has time to weigh the data before deciding when to hike interest rates again. 5%, according to CME FedWatch, in the wake of Williams' comments, from nearly 70% earlier in the session. After retreating from highs at the start of the month, oil prices have accelerated higher in recent days as hopes that a US-Iran peace deal may be on the horizon have diminished.
The rising prices of crude and diesel fuel have stoked inflation worries and pushed US Treasury yields higher. Fed officials have also indicated more rate hikes might be needed if price pressures fail to moderate after the central bank raised interest rates by 25 basis points this month. Several key economic releases are due this week, including the Personal Consumption Expenditures Price Index from the Commerce Department on Wednesday, which could help shape the path of Fed policy. Labor market data, culminating in Friday's government payrolls report, will be released throughout the week.
"PCE tomorrow is going to be big, so we'll see where that takes us," said Tim Ghriskey, senior portfolio strategist at Ingalls & Snyder in New York. " Higher yields raise the cost of capital and can make bonds an appealing alternative to equities, while also potentially denting corporate earnings power. 66. 41.
225 million estimate of economists polled. A separate report from the Conference Board showed US target="_blank" rel="noopener">consumer confidence plunged to a nearly 12-1/2-year low in September, with households expecting a deterioration in business and labor market conditions over the next six months amid the Iran war and rising interest rates. " Anthropic Targets Valuation AI-related stocks were in focus as Anthropic's initial public offering prospectus showed how the AI lab has grown sharply in the last year but also posted wider losses. The company is targeting a $2 trillion-plus valuation, possibly setting a benchmark for how Wall Street measures AI leaders.
Meta shares advanced, even after OpenAI unveiled always-on agents called dots that chase user goals across apps on their own, seen as a competitor to Meta's newly released Muse. Among other movers, used-car retailer CarMax climbed after reporting increased second-quarter profit and revenue. Credit-scorer Fair Isaac Corp plunged after Federal Housing Finance Agency Director Bill Pulte said government-sponsored mortgage enterprises Fannie Mae and Freddie Mac will move to a single pricing grid. social)