Tag: 國債收益率

Asian stocks were mixed on Wednesday as markets renewed expectations that U.S. interest rates could remain high for some time. Fed Chief Executive Jerome Powell said at an event on Tuesday that the central bank has been waiting to cut its key interest rate, which is at its highest level since 2001, because it first needs more confidence that inflation will continue to fall to its 2% target. "The appetite for risk-taking remains weak, with Fed chief Jerome Powell confirming a later rate cut timetable as a series of Fed spokesmen called for more patience on the easing side of the equation," said IG market analyst Yeap Jun Rong.

(Bloomberg) -- Jerome Powell's hawkish comments helped push the Standard & Poor's 500 Index (S&P 500) down for the third straight time, causing two-year Treasury yields to briefly hit 5% and Asian stocks to open mixed. Bloomberg's Most Read U.S. Yields Surge as Powell's Hawkish Remarks Make 5% Possible: Market RoundupDubai Stalls as Clouds Sow Seeds to Exacerbate FloodingChina Tells Iran Carburetor Work Will Continue After Israel AttackIf Fed Rate Hikes Really Triggered a Boom in the U.S. Economy?

Asian investors hoping for some relief from soaring U.S. bond yields and a ravaging dollar were deflated by Federal Reserve matron Jerome Powell's remarks on Tuesday, and will likely be on guard in Wednesday's trading. "Rather than giving us greater confidence, the recent data clearly suggests that realizing that confidence may take longer than expected," Powell said in Washington, a signal from the world of the Bubbles that inflation will not fall back to the central bank's 2% target as quickly as expected, and so interest rates will have to stay higher for a longer period of time. The "longer-term move higher" also seems to apply to the US dollar, bond yields and financial condition indices - a suboptimal grouping for Asian assets that are already feeling the heat.

Wall Street ended the session sharply lower, weighed down by soaring treasury yields and fears of heightened geopolitical tensions between Iran and Israel. At the same time, Israelis are waiting for news about how Armed Forces Prime Minister Benjamin Netanya will respond to the first direct attack by Iran in history, as international pressure for resonance is growing for fear of a possible escalation of the conflict. Several policy makers, including the Federal Reserve matron Jerome Powell, will speak later in the day, and investors will be watching for clues about the central bank's stance on easing.

Treasury yields continue to climb as the market recalibrates its forecast for a rapid Fed rate cut this year.

Hawkish comments from Fed officials last week and stronger-than-expected manufacturing and employment reports signaled a vibrant U.S. economy, easing pressure on the Fed to cut rates quickly. The major Wall Street stock indexes posted weekly losses on Friday as traders scaled back their expectations for a June rate cut by the Fed. Investors will be watching for comments from Chicago Fed matron Austan Goolsbee and Minneapolis Fed matron Neel Kashkari later.

It is expected that Federal Reserve Chairman Simmons Bauer and other central bankers will comment on the path of rate cuts in 2024.