U.S. stocks stalled Friday but hung on to weekly gains, as tumbling oil prices and worries over political risks from North Korea to Italy kept investors on guard ahead of the holiday-lengthened weekend. Stock indexes around the world struggled to gain ground this week as geopolitical rifts drove investors into relatively safe assets such as government bonds and gold. President Donald Trump called off a much-awaited summit with North Korean leader Kim Jong Un, while investors...
* OPEC and Russia consider oil output increase. * Wall St slips as oil fall drags down energy stocks. * Italy, Spain fears boost demand for U.S. bonds. * World shares steady but set for weekly loss. By Laila Kearney.
Home-builder stocks have taken a beating so far this year, but market participants say there could be more near-term pain ahead for the group because benchmark government bond yields have ratcheted higher, lifting borrowing costs for prospective homeowners. "Rising interest rates prompted a lot of investors to sell these stocks, because they believe higher rates will dent demand for housing," said Diane Jaffee, senior portfolio manager at TCW. The S&P 500 home-building index,...
By Jon Sindreu and Akane Otani-- Italian government bonds and Spanish stocks sell off-- Treasury yields edge down further below the 3% mark-- Oil prices slide on production fears. U.S. stocks stalled Friday, but hung onto weekly gains, as tumbling oil prices and worries over political risks from North Korea to Italy kept investors on guard ahead of the holiday-lengthened weekend. Stock indexes around the world struggled to gain ground this week as geopolitical rifts drove investors...
U.S. government bonds rallied Friday, wrapping up a week in which tepid economic data and an apparent shift in the Federal Reserve's approach to inflation sent yields to their biggest weekly decline in more than a month. The yield on the benchmark 10- year Treasury note fell to 2.931% from 2.981% on Thursday and 3.067% on May 18, notching its largest weekly slide since April 13. The yield on the two-year note, which is more sensitive to the direction of monetary policy, fell to 2.480%...
Dovish Fed minutes and uncertainty over Italy's new government drove demand for Treasurys. Treasury prices rose on Friday, pushing yields lower, as lingering concerns over the composition of the new Italian government helped stoke appetite for U.S. government paper and other haven assets. Overall, Treasurys rallied for the week following a dovish set of minutes from the Federal Reserve that saw investors cut back their expectations for a more aggressive rate increase...
Dovish Fed minutes and uncertainty over Italy's new government drove demand for Treasurys. Treasury prices rose on Friday, pushing yields lower, as lingering concerns over the composition of the new Italian government helped stoke appetite for U.S. government paper and other haven assets. Overall, Treasurys rallied for the week following a dovish set of minutes from the Federal Reserve that saw investors cut back their expectations for a more aggressive rate increase...
90% of Italy's high-grade corporate bonds now earn a lower yield than government debt. After this week's selloff in Italian sovereign debt, 90% of the country's high-grade corporate bonds now earn a lower yield than government paper, according to an analysis by Bank of America Merrill Lynch. In other words, investors appear to view Italian corporate bonds as less risky than their government peers.
Washington, D.C.'s airports authority will lead a holiday-shortened week in the U.S. municipal bond market, issuing $578 million in refunding bonds as it forges on with capital projects at the region's two main airports. City and state government agencies will borrow $3.41 billion in bonds and another $464 million in notes next week, with markets closed on Monday for Memorial Day.
U.S. government bond prices surged Friday, at the close of a week in which investors became increasingly focused on risks proliferating throughout the economy. The yield on the benchmark 10- year Treasury note fell to 2.938%, according to Tradeweb, from 2.981% Thursday. Yields fall when bond prices rise.
News, commentary and research reports are from third-party sources unaffiliated with Fidelity. Fidelity does not endorse or adopt their content. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use.
PDF’s require Adobe® Reader® and will open in a new window.