The asset classes are always talking to each other, and here's what they might be telling stocks

  • 📰 MarketWatch
  • ⏱ Reading Time:
  • 45 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 21%
  • Publisher: 97%

Canada News News

Canada Canada Latest News,Canada Canada Headlines

It was the bond market's soothing communication - in the shape of falling yields - that gave equity investors the confidence to deliver the sharp summer rally.

What Federal Reserve chairman Jay Powell says later on Friday in his speech at the Jackson Hole symposium should swiftly ripple across the markets. From interest rate sensitive short-duration fixed income assets through to stocks, the dollar and thus commodities.

The problem for stock market bulls is that some of the bond chatter may soon prove less supportive as it passes on a worrying message from the energy sector. And there’s the rub. Benchmark Treasury yields have moved back above 3% and observers of a technical mindset are pointing out that the head and shoulders pattern that may have suggested further downside for yields has morphed into something more dangerous for bond prices.

And Ole Hansen head of commodity strategy at Saxo Bank notes that speculative positioning leaves that market vulnerable to a pop higher. Quite a big batch of U.S. economic data on Friday, including the July PCE price index, an important inflation gauge, due at 8:30 am Eastern. The July personal income and consumer spending numbers are published at the same time, while the University of Michigan consumer sentiment survey comes out at 10 am Eastern.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 3. in CA
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

PGA of America's CEO: Why golf has never been in better shape - Dallas Business JournalSeth Waugh, CEO of the PGA of America, spoke about the current state of golf and the 'real possibility' that the Ryder Cup will be coming to Frisco in the future.
Source: DallasBizNews - 🏆 525. / 51 Read more »