Markets Overview

  • ASX SPI 200 futures down 0.9% to 7,497.00
  • Dow Average down 1.0% to 34,792.76
  • Aussie down 1.1% to 0.7370 per US$
  • U.S. 10-year yield rose 7.5bps to 2.9076%
  • Australia 3-year bond yield rose 4bps to 2.59%
  • Australia 10-year bond yield fell 3bps to 3.08%
  • Gold spot down 0.3% to $1,951.56
  • Brent futures up 1.7% to $108.63/bbl

Economic Events

  • 9am: (AU) April S&P Global Australia PMI Compo, prior 55.1
  • 9am: (AU) April S&P Global Australia PMI Mfg, prior 57.7
  • 9am: (AU) April S&P Global Australia PMI Servi, prior 55.6

U.S. stocks slid as the selloff in Treasuries resumed, with traders bracing for the possibility of more aggressive policy tightening by the Federal Reserve. The dollar gained.

Treasury yields rose across the curve, with the policy-sensitive two-year rate climbing as much as 15 basis points 2.73% as traders priced in 50 basis-point rate hikes at each of the next three meetings. The dollar gained against all of its major peers following the surge in yields. While inflation and central-bank reactions to the spike in rising prices are big drivers of markets right now, earnings have been important this week too, especially after Netflix Inc.’s selloff, Chris Gaffney, president of world markets at TIAA Bank, noted.

Other News

A California woman went on a tirade against airline workers and escaped an airplane through the emergency exit and inflatable slide just before takeoff in Buffalo, New York on Tuesday. The woman, Cynthia McKnight, reportedly ran around on the airport tarmac before being apprehended by police, according to WIBV 4. McKnight’s flight was on board an American Airlines flight bound for Chicago.

“Cynthia McKnight faces a number of charges including disorderly conduct, harassment, trespass and criminal mischief,” NFTA Director of Public Affairs Helen Tederous told News 4. “According to detectives, McKnight actually opened the cabin door of the plane. The American Airlines flight was on route to Chicago.”

The pilot was forced to return the plane to the gate following the incident.