Oil breaks US$100, Wall Street retreats and bond yields rise, inflation is becoming the market’s biggest risk again Global markets are starting Thursday in a more defensive position. Brent crude has broken above US$100 a barrel , U.S. Treasury yields are pushing higher, and Wall Street fell for a third straight session as investors reassess whether central banks may need to keep tightening rather than easing. For Malaysian investors, the key chain today is increasingly clear: Oil → inflation → interest rates → bond yields → USD/MYR → Bursa valuations. 30-second market snapshot Market / Asset Latest 🇺🇸 S&P 500 7,636.36, -0.48% 🇺🇸 Dow Jones 52,380.66, -0.77% 🇺🇸 Nasdaq 26,253.34, -0.64% 🇲🇾 FBM KLCI 1,714.34, virtually flat 💵 USD/MYR ~4.06 🇺🇸 U.S. 10Y Treasury ~4.84% 🇺🇸 U.S. 2Y Treasury ~4.42% 🥇 Gold ~US$4,396/oz 🛢️ Brent crude US$101.21/bbl 🛢️ WTI crude US$96.05/bbl ₿ Bitcoin ~US$79,300 🇯🇵 Nikkei ~64,760, -0.6% this morning Brent jumped about 3.4% Wednesda...
The S&P 500 and Nasdaq rebounded on Thursday, buoyed by Tesla’s positive earnings forecast, which boosted market sentiment after a prior selloff. Tesla shares surged nearly 16.7%, adding more than US$100 billion (RM435.2 billion) to its market capitalization following robust third-quarter profits and a surprising forecast of 20%-30% sales growth next year.
This optimism lifted the Consumer Discretionary sector by 2.4%, making it the top performer among the S&P 500’s 11 sectors. Other major growth stocks, including Nvidia (+0.8%) and Meta Platforms (+0.6%), also saw gains.
Conversely, the Materials sector fell by 1%, dragged down by Newmont after it missed profit estimates due to higher costs and weaker production in Nevada. IBM dropped nearly 7% after missing third-quarter revenue estimates, weighing on the Dow. Additionally, Boeing fell 1.9% as factory workers continued their strike, and Honeywell slipped 3.8% following a weaker-than-expected annual sales forecast.
The Dow Jones Industrial Average closed down 156.57 points (-0.37%) at 42,358.38, while the S&P 500 gained 7.94 points (+0.14%) to 5,805.36, and the Nasdaq Composite added 70.52 points (+0.39%) to 18,347.18.
Treasury yields eased slightly, but the 10-year yield remained around its highest since July, briefly touching 4.26% on Wednesday. Despite concerns about Federal Reserve rate cuts, corporate earnings, and election uncertainty, Tesla’s positive results and guidance provided a welcome boost.
On the earnings front, UPS rose 7.6% on strong third-quarter profits, while FedEx gained 2.4%. In the airline sector, Southwest Airlines fell 2.5%, while American Airlines gained 3.4% after reporting earnings.
As of now, 32% of S&P 500 companies have reported quarterly results, with 79% beating earnings estimates, according to LSEG data.
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