Stocks fall, yields climb on rate hike view

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MSCI's gauge of stocks across the globe sheds 0.23% on Wednesday, April 19.

“Rates are climbing higher which is acting as a headwind for stocks,” said Anthony Saglimbene, chief market strategist at Ameriprise Financial in Troy, Michigan.

The yield on 10-year Treasury notes was up 2.5 basis points to 3.597% after reaching 3.639%, its highest since March 22. The rise in rates served to weigh on equities, as the STOXX 600 slipped from a 14-month high while Britain’s FTSE 100 closed off 0.13% after the inflation data. A host of Fed speakers are scheduled to give commentary over the rest of the week, before the officials enter a blackout period on Saturday, April 22, ahead of the central bank’s May 2-3 meeting.

 

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