X

Choose your trading platfom

US Stocks fall as bond yields spike, Powell reiterates hawkish stance

Jerome Powell

  • Wall Street came off a session high following a $24 billion 30-year bond sale as yields spiked, while the fear gauge, the CBOE VIX, surged 7% to above 15.
  • Fed Chair Powell said the US central bank is not confident that it has done enough to tame inflation and will not hesitate to tighten policy further if appropriate.
  • Risk-off sentiment prevailed as the US dollar and gold climbed amid increased haven demands.
  • Crude oil cut early gains and finished lower due to deteriorated demand outlooks on economic concerns.  
  • Bitcoin popped to nearly 38,000 before pulling back to around 36,300 on Spot ETF approval optimism.
  • Chinese stock markets deepened losses as the October CPI data (-0.2% y/y) showed the country remained in deflation. Asian stock markets are set to open lower. ASX 200 futures were down 0.13%, and Hang Seng Index futures slid 0.59%.

Chart of the Day:

Bitcoin, daily

Source: CMC Markets as of 10 November 2023

Company News:   

  • Disney (NYSE: DIS) jumped 7% following Q3 earnings result. The entertainment giant beat EPS expectations. Disney+ subscribers saw higher than expected growth of 150.2 million. The company raised its cost-cutting target to US$7.5 billion.
  • Tesla (NDX: TSLA) fell 6% following analyst’s downgrade. HSBC set the price target at US$146, or 30% down from the current level, implying a “reduce” rating.
  • Virgin Galactic (NYSE: SPCE) soared 19% following an announcement that it plans to spaceflight operations next year and laid off 185 staff.

ASX Corporate Actions:

  • Light & Wonder Inc. (LNW) will release the Q3 FY23 earnings.
  • News Corp (NWS) will release the Q1 2024 earnings.

Today’s Agenda:

  • New Zealand Business Manufacturing Index
  • RBA Monetary Policy Statement
  • Chinese New Yuan Loans & M2 Money Supply


Disclaimer: CMC Markets is an order execution-only service. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although we are not specifically prevented from dealing before providing this material, we do not seek to take advantage of the material prior to its dissemination.

Hello, we noticed that you’re in the UK.

The content on this page is not intended for UK customers. Please visit our UK website.

Go to UK site