Fri. Jun 28th, 2024

US stock trade mixed as key bond yields near 5% and oil spikes again on Middle East conflict fears<!-- wp:html --><p>Israel soldiers inspect burnt cars at the site of the Hamas terrorist attacks on the Nova music festival in southern Israel.</p> <p class="copyright">Amir Cohen/Reuters</p> <p>US stocks opened mixed on Friday, as the 10-year Treasury yield hovered just below 5%. <br /> Oil prices rose and are on pace for a second week of gains as conflict in the Middle East continues.<br /> A US Navy destroyer also shot down missiles launched from Yemen that could have been headed for Israel.</p> <p>US stocks opened mixed on Friday as the yield on the 10-year Treasury hovered just below 5% while oil prices rose amid fears the Israel-Hamas conflict could spread.</p> <p>Also boosting oil were forecasts for a widening supply deficit heading into 2024 and the Energy Department's announcement Thursday that it will buy 6 million barrels of crude to deliver to the Strategic Petroleum Reserve in December and January.</p> <p>Meanwhile, Israeli troops have built up a presence near the Gaza border this week, and multiple reports suggest a ground invasion could be imminent. A US Navy destroyer also shot down missiles launched from Yemen that could have been headed for Israel.</p> <p>In the stock market, NYSE senior strategist Michael Reinking said that Friday's session is an options expirations day, which could add volatility and trading volume near the open and close. </p> <p>"Yesterday, US equities were under pressure for the second consecutive day driven by a mix of geopolitical concerns, underwhelming earnings, and the continued rise in yields," Reinking said in a Friday note. "Chair Powell's address didn't really contain many surprises leaving all options on the table, suggesting that the Fed would remain on hold but with a watchful eye."</p> <p><strong>Here's where US indexes stood as the market opened at 9:30 a.m. on Monday: </strong></p> <p><a href="https://markets.businessinsider.com/index/s&p_500?utm_source=markets&utm_medium=ingest%3Futm_source%3Dmarkets&utm_medium=ingest&utm_medium=ingest&utm_source=markets"><strong>S&P 500</strong></a><strong></strong><strong>: </strong>4,270.35, down 0.18%<a href="https://markets.businessinsider.com/index/dow_jones?utm_source=markets&utm_medium=ingest%3Futm_source%3Dmarkets&utm_medium=ingest&utm_medium=ingest&utm_source=markets"><strong>Dow Jones Industrial Average</strong></a><strong></strong><strong>: </strong>33,419.31, up 0.02% (5.14 points)<a href="https://markets.businessinsider.com/index/nasdaq_composite?utm_source=markets&utm_medium=ingest%3Futm_source%3Dmarkets&utm_medium=ingest&utm_medium=ingest&utm_source=markets"><strong>Nasdaq Composite</strong></a><strong></strong><strong>: </strong>13,121.71, down 0.49%</p> <p><strong>Here's what else is going on: </strong></p> <p>The market's <a href="https://markets.businessinsider.com/news/etf/tlt-ishares-20-year-treasury-bond-etf-jerome-powell-inflation-2023-10">largest bond ETF</a> hit a 16-year low on Thursday.Jerome Powell said the Fed will <a href="https://markets.businessinsider.com/news/bonds/jerome-powell-federal-reserve-treasury-bond-market-collapse-yields-debt-2023-10">let bond market volatility play out</a>. <a href="https://markets.businessinsider.com/news/stocks/housing-market-home-prices-affordability-crisis-mortgage-rates-morgan-stanley-2023-10">House prices could climb further</a>, but 8% mortgage rates could make them slide next year, a strategist said.Elon Musk's fortune plunged by $16 billion in a single day, but he could lose a lot more and <a href="https://markets.businessinsider.com/news/stocks/elon-musk-wealth-net-worth-decline-q3-tesla-earnings-miss-2023-10">still be the richest person in the world</a>. The president of Blackstone said <a href="https://markets.businessinsider.com/news/bonds/treasury-bond-crash-yields-us-consumer-spending-pain-blackstone-economy-2023-10">Americans are about to feel the impact</a> of soaring bond yields.</p> <p><strong>In commodities, bonds, and crypto: </strong></p> <p>Oil prices climbed, with<a href="https://markets.businessinsider.com/commodities/oil-price?type=wti"> West Texas Intermediate</a> up 1.01% to $90.27 a barrel. <a href="https://markets.businessinsider.com/commodities/oil-price?utm_medium=ingest&utm_source=markets">Brent crude</a>, the international benchmark, rose 0.96% to $93.28 a barrel.<a href="https://markets.businessinsider.com/commodities/gold-price?utm_source=markets&utm_medium=ingest%3Futm_source%3Dmarkets&utm_medium=ingest&utm_medium=ingest&utm_source=markets">Gold</a> edged up 0.44% to $1,989.40 per ounce.The<a href="https://markets.businessinsider.com/rates/u-s--rates-10-years?utm_medium=ingest&utm_source=markets"> 10-year yield</a> dipped 3 basis points to hover at 4.954%.<a href="https://markets.businessinsider.com/currencies/btc-usd?utm_medium=ingest&utm_source=markets">Bitcoin</a> climbed 2.82% to $29,557.</p> <div class="read-original">Read the original article on <a href="https://www.businessinsider.com/stock-market-news-today-oil-price-gaza-israel-hamas-conflict-2023-10">Business Insider</a></div><!-- /wp:html -->

Israel soldiers inspect burnt cars at the site of the Hamas terrorist attacks on the Nova music festival in southern Israel.

US stocks opened mixed on Friday, as the 10-year Treasury yield hovered just below 5%. 
Oil prices rose and are on pace for a second week of gains as conflict in the Middle East continues.
A US Navy destroyer also shot down missiles launched from Yemen that could have been headed for Israel.

US stocks opened mixed on Friday as the yield on the 10-year Treasury hovered just below 5% while oil prices rose amid fears the Israel-Hamas conflict could spread.

Also boosting oil were forecasts for a widening supply deficit heading into 2024 and the Energy Department’s announcement Thursday that it will buy 6 million barrels of crude to deliver to the Strategic Petroleum Reserve in December and January.

Meanwhile, Israeli troops have built up a presence near the Gaza border this week, and multiple reports suggest a ground invasion could be imminent. A US Navy destroyer also shot down missiles launched from Yemen that could have been headed for Israel.

In the stock market, NYSE senior strategist Michael Reinking said that Friday’s session is an options expirations day, which could add volatility and trading volume near the open and close. 

“Yesterday, US equities were under pressure for the second consecutive day driven by a mix of geopolitical concerns, underwhelming earnings, and the continued rise in yields,” Reinking said in a Friday note. “Chair Powell’s address didn’t really contain many surprises leaving all options on the table, suggesting that the Fed would remain on hold but with a watchful eye.”

Here’s where US indexes stood as the market opened at 9:30 a.m. on Monday: 

S&P 500: 4,270.35, down 0.18%Dow Jones Industrial Average: 33,419.31, up 0.02% (5.14 points)Nasdaq Composite: 13,121.71, down 0.49%

Here’s what else is going on: 

The market’s largest bond ETF hit a 16-year low on Thursday.Jerome Powell said the Fed will let bond market volatility play outHouse prices could climb further, but 8% mortgage rates could make them slide next year, a strategist said.Elon Musk’s fortune plunged by $16 billion in a single day, but he could lose a lot more and still be the richest person in the world. The president of Blackstone said Americans are about to feel the impact of soaring bond yields.

In commodities, bonds, and crypto: 

Oil prices climbed, with West Texas Intermediate up 1.01% to $90.27 a barrel. Brent crude, the international benchmark, rose 0.96% to $93.28 a barrel.Gold edged up 0.44% to $1,989.40 per ounce.The 10-year yield dipped 3 basis points to hover at 4.954%.Bitcoin climbed 2.82% to $29,557.

Read the original article on Business Insider

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