US equity markets had another mixed session yesterday, with technology stocks under pressure as escalating concerns over the conflict in the Middle East weighed on investor sentiment. The Nasdaq led the declines, falling 1.25%, while the S&P 500 also closed lower; the Dow edged up 0.10%, in line with the market snapshot. US Treasury yields moved lower across the curve, supported by particularly strong demand at the 30-year Treasury auction, and the dollar lost some ground against major currencies. Oil prices surged as traders grew more nervous about a further escalation of the Middle East conflict, while gold recovered more lost ground on the weaker dollar and lower yields. The economic calendar is relatively quiet to end the trading week, but Canadian employment data and US consumer sentiment and inflation expectations could move North American markets.
📊 Equities
US equity markets had another mixed session yesterday, with technology stocks taking a hit as escalating concerns over the conflict in the Middle East weighed on investor sentiment. The Nasdaq led the declines, dropping 1.25%, and the S&P 500 also finished in negative territory, down 0.47%. The Dow edged 0.10% higher, in line with the market snapshot.
🛢️ Oil
Oil was once again at the centre of the action, with prices surging as traders grew increasingly nervous about a further escalation of the Middle East conflict. Brent crude jumped 3.63% to close at $103.84, while WTI crude climbed 3.23% to $91.13. Both major contracts pulled back from their session highs after President Trump indicated that he would hold off on further attacks against Iran until after the US mid-term elections.
🥇 Gold
Gold recovered more lost ground, benefiting from the weaker dollar and lower Treasury yields. It rose 0.53% to $4,132.39.
💵 FX & Bonds
US Treasury yields moved lower across the curve, with particularly strong demand noted at the 30-year Treasury auction during the New York session. The benchmark 10-year yield dropped 5.6 bps, while the 2-year yield edged lower by 1.1 bps. The dollar also lost some ground against major currencies, although elevated US yields and ongoing inflation concerns continued to provide support.
| Market | Daily Change | Close |
|---|---|---|
| Dow | +0.10% | 51,231 |
| S&P 500 | -0.47% | 7,765 |
| Nasdaq | -1.25% | 27,193 |
| USD | -0.13% | 102.12 |
| US Treasury – 2 Year | -1.1 bps | 4.757% |
| US Treasury – 10 Year | -5.6 bps | 5.227% |
| Oil – Brent | +3.63% | $103.84 |
| Oil – WTI | +3.23% | $91.13 |
| Gold | +0.53% | $4,132.39 |
📌 Today’s Focus
It is a relatively quiet economic calendar to round out the trading week, although Canadian employment figures and US consumer sentiment and inflation expectations data could generate some movement in the North American session. Geopolitics remains firmly in the driving seat, and traders will be watching particularly closely for fresh headlines from the Middle East as markets head into the weekend.
🔹 US Session – 11.30 pm – Canada – Employment Change Data
🔹 US Session – 11.30 pm – Canada – Unemployment Rate
🔹 US Session – 1.00 am – US – Preliminary University of Michigan Consumer Sentiment Data
🔹 US Session – 1.00 am – US – Preliminary University of Michigan Inflation Expectations Data