Breaking News
Investing Pro 0
Free Webinar - The Role of Psychology in Trading - Thursday, December 8, 2022 | 04:00PM EST Enroll Now

S&P 500 Rides Slump in U.S. Treasury Yields Higher

Stock Markets Sep 28, 2022 03:12PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters
 
US500
+0.75%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
DJI
+0.55%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
AAPL
+1.21%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
DHI
-0.39%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
LEN
+0.48%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
PHM
-0.43%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

By Yasin Ebrahim

Investing.com -- The S&P 500 rebounded from its recent malaise, supported by a fall in Treasury yields after the Bank of England’s intervention calmed investor worries.

The S&P 500 rose 1.9%, the Dow Jones Industrial Average gained 1.4%, or 416 points, and the Nasdaq was up 1.9%.

The Bank of England said it delayed plans to begin its bond selling program, or quantitative tightening and temporarily buy U.K. government bonds to restore orderly market conditions.”

The move put pressure on U.K. government bond yields, which trade inversely to prices, dragging other sovereign bonds including U.S. Treasury yields lower. “There was a minor move lower in Fed funds pricing for the November rate move,” Scotiabank Economics said in a note.

The 10-year Treasury yield slumped to 6.5%, pulling back from 15-year highs.

Energy led the broader market higher, supported by a more than 3% rally in oil prices on supply disruption after 11% of oil production in in the U.S. Gulf of Mexico was shut owing to disruptions from Hurricane Ian.

Marathon Petroleum (NYSE:MPC), Valero Energy (NYSE:VLO), Hess (NYSE:HES) was up more than 5%.

Consumer stocks were also in the ascendency, with home builders and retailer leading to the upside.

DR Horton (NYSE:DHI), Lennar (NYSE:LEN), PulteGroup (NYSE:PHM) were up more than 4%, recovering losses from a day earlier when data showed that home prices in July fell for the first time in 10 years at a time when rising mortgage rates have dampened demand.

Technology stocks climbed, but lagged the broader market's move higher despite the fall in Treasury yields as a 2% slump in Apple weighed on the sector.

Apple (NASDAQ:AAPL) came under pressure on reports the company is abandoning plans to boost new iPhone production, Bloomberg reported.

“The iPhone 14 just did not receive the same level of upgrades vs. the iPhone 13 as the iPhone 14 Pro/Max received vs. the iPhone 13 Pro/Max,” KeyBanc said in a note.

Netflix (NASDAQ:NFLX), meanwhile, rallied more than 9% after Atlantic Equities upgraded the stock to overweight on optimism about the company’s upcoming launch of a lower-cost, ad-supported subscriber tier.

In other news, DocuSign (NASDAQ:DOCU) climbed more than 4% after it announced plans to cut 9% of its workforce as part of efforts to cut costs.

S&P 500 Rides Slump in U.S. Treasury Yields Higher
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (4)
Chad Richer Than You
Chad Richer Than You Sep 28, 2022 3:56PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Big thanks to England
Stephen Fa
Stephen Fa Sep 28, 2022 3:43PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The funny thing is the Democrats are on the elite wealthy side, not the majority of Americans
lakes Tenn
lakes Tenn Sep 28, 2022 3:13PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
did Biden resign? this must be the get the newbs in, before the tank
Casador Del Oso
Casador Del Oso Sep 28, 2022 2:54PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Thank you Btits. Inflation will last longer and oil will be more expensive (for now).
Casador Del Oso
Casador Del Oso Sep 28, 2022 2:54PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Thank you Brits.
Casador Del Oso
Casador Del Oso Sep 28, 2022 2:54PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
I pretty much agree with everything you say 100%.
hd tv
hd tv Sep 28, 2022 2:54PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
it had nothing at all to do with the stock market, It was all about the meltdown in the bond market and potential margin calls on pension funds who invested in 30yr gilts. whilst a stock crash can be damaging.a bond market crash would of been catastrophic for the economy
hd tv
hd tv Sep 28, 2022 2:54PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
you truly are clueless, the stock market is nothing compared to the bond market. bond markets dictates the economy and is far far larger than the stock market and a much bigger problem when it goes wrong . not only is it pension funds struggling the mortgage market was/is becoming very distressed in the uk works differently to the US. it could well be inflationary but the economy was an afternoon away from crashing. stocks will most likely still head future down over the next few months. but the BoE had to steep in today forced by an economically clueless government
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email