Equities
| Name | Daily Close | Daily Change | Daily Change (%) |
|---|---|---|---|
| Dow | 37,735.11 | -248.13 | -0.65% |
| S&P 500 | 5,061.82 | -61.59 | -1.20% |
| Nasdaq | 15,885.02 | -290.08 | -1.79% |
| VIX | 19.23 | 1.92 | 11.09% |
| Gold | $2,401.40 | $18.00 | 0.75% |
| Oil | $85.80 | $0.39 | 0.43% |
US MARKET
Stocks fell broadly in response to ongoing Middle East tensions and rising U.S. Treasury yields. Despite initial gains following Iran’s attack on Israel, uncertainty lingered, dampening market sentiment.
The S&P 500, Dow Jones, and Nasdaq Composite all experienced declines, with the S&P 500 down 1.2% by day’s end.
Retail sales exceeded expectations, indicating a robust economy but also contributing to increased U.S. bond yields as investors adjusted their expectations regarding Federal Reserve interest rate cuts.
Concerns over inflation and geopolitical risks contributed to market volatility, with interest-rate futures reflecting lowered expectations for rate cuts.
Higher Treasury yields negatively impacted stocks, particularly interest-rate-sensitive sectors like real estate.
Tesla announced layoffs, leading to a 5.6% decline in its stock, while Goldman Sachs reported strong earnings, driving a 2.9% increase in its stock.
Despite recent declines, the S&P 500 has seen a 6.1% increase this year.
Retail sales data reinforced the economy’s resilience, with February sales revised upward and the Atlanta Fed’s GDP tracker suggesting stronger growth for the first quarter.
Oil prices remained stable, indicating that market factors have already priced in Middle East tensions.
Benchmark U.S. crude futures closed at $85.41 a barrel, reflecting a 0.3% decline.
LOCAL MARKET
Australian shares are expected to open lower following a 1.5% decline in the S&P 500 on Friday, influenced by earnings reports from financial giants like JPMorgan and BlackRock.
ASX futures indicate a 0.63% or 50-point drop at Monday’s opening.
U.S. markets experienced significant losses on Friday, with the Dow Jones, S&P 500, and Nasdaq falling by 1.2%, 1.5%, and 1.6%, respectively.
In commodity markets, Brent crude oil rose by 0.8% to $90.45 a barrel, while gold fell by 1.2% to $2,344.37.
Australian bond yields saw an increase, with the 2-year and 10-year government bond yields reaching 3.89% and 4.26%, respectively. Meanwhile, U.S. Treasury notes declined, with the 2-year yield at 4.90% and the 10-year yield at 4.52%.
The Australian dollar was at 64.75 US cents, while the Wall Street Journal Dollar Index remained flat at 100.19.