Treasuries rise with stocks on softer Fed comments: Markets wrap

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Treasuries jumped and shares advanced after comments by Federal Reserve officials fueled speculation the US central bank may stand pat until year-end.

“The spike in bond yields coupled with the unfolding geopolitical tensions in the Middle East seem to have served as the catalyst for the much-anticipated dovish shift from the Federal Reserve — a move that equity markets have been eagerly awaiting,” said Tony Sycamore, a senior market analyst at IG Australia.

The tensions in the Middle East, however, may escalate further after the Financial Times reported a top US general warned Iran to “not get involved” in the Israel-Hamas conflict.

 

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