Stocks Slide Amid Higher Bond YieldsPosted 10/08/2018 10:47AM CT |
U.S. equity markets continue to move lower as U.S. government bond yields rose to their highest levels since 2011, with the 10-year yield as high as 3.227% last week. This comes amid a strong jobs report on Friday with the unemployment rate in September falling to the lowest level since 1969. Global equity markets moved lower in the overnight with Chinese stocks coming off their worst day in more than three months. Italian shares and government bonds continue to sell off over a dispute concerning the country’s budget targets. Looking ahead, members of the Fed will be speaking throughout the week with CPI and PPI set to be released, as well as the start of third-quarter earnings season with U.S. banks JPMorgan, Wells Fargo and Citi set to report on Friday. Momentum is trending lower with near term support in the S&P seen at Friday’s low of 2873.25 with the next downside target around 2852.
E-Mini S&P 500 Dec ’18 Daily Chart