- US stocks fell sharply following hotter-than-expected Core PCE data on Friday.
- The two-year Treasury yield neared its highest level since 2007.
- The S&P 500 notched its worst-performing week in 2023 as investors retreat from risk assets.
US stocks fell on Friday to close out a losing week, with the S&P 500 notching its worst weekly performance since mid-December.
The Nasdaq Composite and Dow Jones Industrial Average also ended lower as traders digested discouraging January inflation data.
On Friday, core Personal Consumption Expenditures, the US central bank’s preferred inflation measure, increased 0.6% in January, higher than economists’ estimates.
Bond yields jumped as traders bet on more interest rate hikes from the Federal Reserve. The two-year Treasury yield jumped 11 basis points to 4.81%, nearing its highest level since 2007. The 10-year yield rose seven basis points to 3.95%.
Here’s where US indexes stood at the 4 p.m. ET close on Friday:
Here’s what else happened today:
In commodities, bonds and crypto:
- West Texas Intermediate crude oil climbed 1.5% to $76.55 per barrel. Brent crude, oil’s international benchmark, rose 1.3% to $83.28.
- Gold fell 0.5% to $1,818 per ounce.
- The 10-year Treasury yield gained seven basis points to 3.95%.
- Bitcoin fell 0.05% to $24,130.33.
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