Equities dip as bond yields hold near multi-decade highs
SPY•U.S. stocks fell for a second straight session as Treasury yields rose, with the 30-year yield reaching 5.6206% and the 10-year yield climbing to 5.293%. Consumer confidence fell to a nearly 12½-year low in September.
1. Stocks and yields
The Dow fell 0.40%, the S&P 500 lost 0.21% and the Nasdaq declined 0.17%. The 30-year Treasury yield reached 5.6206%, its highest since June 2002, while the 10-year yield rose to 5.293%, near its highest since June 2007. Investors were watching inflation and labor-market data due later in the week, including the PCE price index and the government payrolls report.
2. Economic signals
Job openings fell by 256,000 to 7.079 million in August, below economists’ estimate of 7.225 million. A separate Conference Board report showed consumer confidence at a nearly 12½-year low in September, with households expecting business and labor-market conditions to worsen over the next six months.
3. Company movers
CarMax rose 4.7% after reporting higher second-quarter profit and revenue. Fair Isaac fell 26.9% after the Federal Housing Finance Agency director said Fannie Mae and Freddie Mac would move to a single pricing grid. The Philadelphia semiconductor index gained 1.4%.
