US markets rallied on Thursday as lower Treasury yields and oil prices supported sentiment, offering a positive cue for Indian investors ahead of Frid…
1/5US Markets | US equities rose on Thursday, helped by lower Treasury yields and oil prices, along with gains in major technology stocks, as traders sought to recover some of the previous session’s losses following the Federal Reserve’s first interest rate hike in three years. The Dow Jones Industrial Average advanced 224 points, or 0.4%. The S&P 500 was up 0.9%, and the Nasdaq Composite added 1.5%.
2/5US Treasury Yields | US Treasuries rose as oil prices declined and gains for UK government bonds reinforced improving sentiment after the Federal Reserve’s interest-rate hike and pledge to throttle inflation. The rally trimmed yields across maturities by at least five basis points, with the two- and five-year yields retreating from multiyear highs reached Wednesday after the Fed rate hike. Yields on 10-year Treasuries fell eight basis points to 4.95%, snapping an eight-day rising streak, as traders saw the first hike in three years as restoring the Fed’s inflation-fighting credibility.
3/5US jobless claims | US jobless claims fell sharply last week to their lowest level since July, while continuing claims also declined, pointing to a relatively stable labour market despite subdued hiring. Initial claims for state unemployment benefits fell by 10,000 to a seasonally adjusted 196,000 in the week ended September 12, the US Labour Department said on Thursday. The reading was below the 208,000 economists had expected, according to a Reuters poll.
4/5US Pending Home Sales | Pending sales of existing US homes picked up slightly in August, though they remained subdued as high mortgage rates continue to suppress demand. An index of contract signings increased 0.3% to 71.2 last month, rising for the first time since May, according to National Association of Realtors data released Thursday.
5/5US Housing | New US residential construction declined unexpectedly in August to one of the weakest paces since the pandemic, reflecting a plunge in starts of multifamily projects. Housing starts decreased 2.6% to an annualised rate of 1.28 million, according to federal government data released Thursday. Starts of multifamily projects decreased nearly 22%. Single-family home construction rose 7.6% to an annualised 918,000, the fastest pace since March and was fueled by increases in the West and Midwest.
