Markets Overview

  • ASX SPI 200 futures little changed at 7,151.00
  • Dow Average down 0.2% to 33,490.48
  • Aussie down 0.8% to 0.6684 per US$
  • U.S. 10-year yield rose 8.1bps to 3.7713%
  • Australia 3-year bond yield fell 6.9 bps to 3.19%
  • Australia 10-year bond yield fell 11 bps to 3.62%
  • Gold spot down 0.7% to $1,760.60
  • Brent futures down 3.2% to $89.89/bbl

Economic Events

  • 11:00: (AU) Australia to Sell A$700 Million 2.75% 2029 Bonds

US stocks and Treasuries slumped as Federal Reserve officials hammered home their resolve to remain persistent in their fight against inflation and warned of more pain to come.

The S&P 500 and the tech-heavy Nasdaq 100 declined for the second straight session. Commodities from oil to copper fell while the dollar snapped a two-day drop.

US 10-year Treasury yields climbed after St. Louis Fed President James Bullard said policymakers should increase interest rates to at least 5% to 5.25% to curb inflation. He also warned of further financial stress ahead.

With inflation only starting to ease and a gauge of US retail sales increasing at the fastest pace in eight months, Fed speakers in recent days have emphasized that they need to go further to extinguish prices pressures.

On Thursday, fresh data showing weekly jobless claims came in below the forecast further underscored the strength of the labor market. US mortgage rates posting their biggest weekly decline since 1981 briefly improved sentiment, even though Freddie Mac’s chief economist said there’s a long road ahead for the housing market.

Other News

Two giant baubles that broke free from a Christmas display have been spotted soaring down a busy London street, wreaking havoc as confused bystanders watch on.

If you think early November is too soon for Christmas décor, it seems the two baubles agree – with the pair of truck-sized ornaments filmed flying down Tottenham Court Road, far away from their installation at St Giles’ Square.

Footage shows at one point one bauble slamming into a street pole, shattering it’s outer wrapping as it continues in its warpath down the road.

Moments after, a second bauble tumbles down the road, bounces from the street and onto the roof of a moving car, and then rolls on.

They are believed to have been part of an Christmas installation curated by artist Tom Shannon.

The two ornaments were swept from their display during extremely high winds as the aftermath of Storm Claudio continues to batter London.

Meteorologists expect the wild weather to continue for some time yet, having been swept across the continent from France – where “tornado-like” winds destroyed homes.