Market developments
Equities:
U.S. equities closed the week mixed as the S&P 500 oscillated. Tech giants reported mixed earnings, affecting market sentiment. Concerns over fiscal stability and rising bond yields weighed on investor confidence. A positive jobs report fueled speculation about the Fed’s interest rate decision in September, adding to market uncertainty.
Fixed income:
Treasury yields fluctuated throughout the week, reacting to refunding announcements and economic data. The long end of the curve faced pressure due to increased issuance and a widening budget deficit. Mixed jobs report failed to provide clear signals on Fed policy, leaving supply dynamics and positioning to guide the market.
Commodities:
Oil prices soared as demand surged, OPEC+ cuts boosted sentiment. However, technical barriers and economic uncertainties caused pullbacks. Saudi Arabia’s production cut lifted prices, while U.S. stockpiles hit record lows. Oil extended gains for a sixth week amid geopolitical tensions over Ukraine.