Bank stocks tumble; others rise on hopes for easier rates

  • 📰 KPRC2
  • ⏱ Reading Time:
  • 40 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 19%
  • Publisher: 68%

South Africa News News

South Africa South Africa Latest News,South Africa South Africa Headlines

Bank stocks have sagged in Europe and U.S. stock futures have fallen ahead of the market's open in New York.

The S&P 500 dipped 0.2% after whipsaw trading, where it careened between an early loss of 1.4% and a midday gain of nearly that much. The Dow Jones Industrial Average fell 90 points, or 0.3%, while the Nasdaq composite rose 0.4%.

“So far, it seems that the potential problem banks are few, and importantly do not extend to the so-called systemically important banks,” analysts at ING said. The fear was that stubbornly high inflation would force the Fed to get even tougher, and investors were bracing for the Fed to keep hiking at least a couple more times after that.

That has hurt the investment portfolios of banks, which often park their cash in Treasurys because they're considered among the safest investments on Earth. Prices for Treasurys also shot higher on both demand for something safe and expectations for an easier Fed. That in turn sent their yields lower, and the yield on the 10-year Treasury plunged to 3.54% from 3.70% late Friday. That’s a major move for the bond market.

 

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

Plz do a story on this shelter killing dogs within 4 days. it's horrific and barbaric !! PLZ!! They can be saved!

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:

 /  🏆 80. in ZA

South Africa South Africa Latest News, South Africa South Africa Headlines