From The Economic Times · · 1m 20s
US Stocks Drop as Inflation Fears Rise
Higher oil prices and Treasury yields trigger US market declines ahead of earnings season.
In brief
Higher oil prices and Treasury yields trigger US market declines ahead of earnings season. US stocks fell as crude prices surged and Treasury yields rose, sparking inflation concerns before earnings reports. Originally reported by The Economic Times.
US Stocks Slip
US stocks slipped on Thursday as higher crude prices and persistently high treasury yields revived inflation fears just days before earnings season.
Brent Crude Rises
Brent crude climbed 4.2% to more than $104 a barrel as intensifying attacks on vessels in the gulf and the strait of hormuz heightened concerns about disruptions to middle eastern supplies.
Treasury Yields Near Peak
The benchmark 10-year treasury yield hovered around 5.29%, near its highest level since 2002.
Tech Stocks Decline
Amazon, tesla and nvidia declined between 0.3% and 1.3%, leading losses among megacap growth companies.
Semiconductor Pressure
Marvell technology and intel dropped about 3% each, while amd lost 2% and micron technology fell 1.4%.
Market Strategy View
We've got duelling headwinds with energy prices and treasury yields and light on the economic data front, kind of a wait and see on earnings which really kick off in earnest next week.
“We've got duelling headwinds with energy prices and treasury yields and light on the economic data front, kind of a wait and see on earnings which really kick off in earnest next week”
Earnings Focus
Investors are turning their attention to third-quarter results, with major financial companies including jpmorgan chase due to report next week.
The bottom line
US stocks fell as crude prices surged and Treasury yields rose, sparking inflation concerns before earnings reports.
