Market Summary
Oil Holds Firm as Hormuz Optimism Fades: Brent crude remained elevated as optimism faded over a near-term resolution to disruptions in the Strait of Hormuz. Equity futures fell to one-week lows, with S&P 500 futures down 0.3% and Nasdaq 100 futures 0.5% lower.
Treasury Yields Rise as Fed Hike Bets Build: Expectations of further Federal Reserve rate hikes pushed Treasury yields higher, with the US 10-year yield reaching a session high of 5.26%. Strong US business activity, mounting government debt and greater scrutiny of the Fed’s commitment to controlling inflation are likely to support yields in the near term, barring any surprises in this week’s non-farm payrolls report.
Australian Dollar Falls Following RBA Decision: The Australian dollar fell more than 0.5% against the US dollar after RBA officials said they had considered pausing policy tightening. The central bank raised its target rate by 25 basis points, as expected, citing increased cost pressures on businesses and resilient domestic demand. In the UK, the Labour Party conference continues, with several policy announcements expected, including social care reform and indications of higher taxes.
Economic Calendar
- US JOLTS Job Openings
- US Conference Board Consumer Confidence
Key Market Moves Today
- S&P 500 Futures: -0.03% (7,744)
- Brent Crude: +1.44% ($106.77)
- Spot Gold: +0.64% ($4,142)
**For professional investors only** Any opinions, news, research, analyses, prices, or other information contained in this blog is provided as general market commentary and does not constitute (and should not be construed as containing) investment advice or an investment recommendation, or an offer of, or solicitation for, a transaction in any financial instrument. Some of this information may have been provided by third-party sources and, although believed to be reliable, it has not been independently verified and its accuracy or completeness cannot be guaranteed. No representation or warranty, expressed or implied, is made or given by or on behalf of iSAM Securities or its directors or any other person as to the accuracy, completeness or fairness of the information or opinions contained in this blog, and no responsibility or liability is accepted for any such information. As a result, any person acting on any information does so entirely at their own risk. iSAM Securities will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
