Market developments
Equities: Global markets ended the week mostly lower, with the S&P 500 falling 0.96% in its first weekly decline since early September, while the NASDAQ managed to stay marginally positive with a 0.16% gain. The TSX dropped 1.45%, weighed down by broader market sentiment. The Magnificent Seven tech stocks showed resilience, with their index rising 1.3%, as investors await next week’s crucial earnings reports from five of these market leaders.
Fixed income: Treasury yields climbed on Friday, with the 10-year yield rising to 4.24%, while the 2-year yield topped 4.10% for the first time since mid-August. Bond markets faced broad pressure across regions, with the US Aggregate Bond Index declining 0.74% for the week, while Canadian and European bonds fell 0.56% and 0.50%, respectively. Market volatility remained elevated, with the ICE BofA Move Index reaching its highest level this year
Commodities: Oil markets rebounded after a two-day decline, posting a 3.51% weekly gain as WTI crude traded above $71 per barrel. Gold continued its upward trend with a 0.79% weekly gain, while copper slipped 0.46%.