Overview
- Global bond yields jumped after the Federal Reserve raised its main policy rate and signaled the possibility of more hikes, pushing the U.S. 10-year yield to multi-year highs and prompting a market repricing of long-duration growth stocks.
- A crude-price surge earlier in the week sparked inflation worries and sent energy and bank shares higher while dragging broader indexes to multi-week lows before oil eased and stocks recovered much of their losses.
- On Thursday, major U.S. indexes reversed midweek weakness as Brent crude fell and the 10-year Treasury yield pulled back, sending the S&P 500, Dow and Nasdaq higher for the session.
- U.S. regulatory news hit crypto markets when the Senate blocked a digital-asset market-structure bill, triggering a sharp drop in Bitcoin and weakness in crypto-exposed equities.
- Weaker Chinese demand indicators, persistent crude volatility and the Fed’s next policy moves are the key risks to watch because they could keep inflation expectations and global yields elevated and pressure markets further.