Stocks Fall as Oil Rally Keeps a Lid on Treasuries: Markets Wrap
(Bloomberg) — A resurgence in oil prices dragged down stocks and bonds, stoking concerns about inflation just days ahead of the Federal Reserve decision on rates.
Brent crude topped $115 as a flare-up in Middle East violence threatened global supplies. The S&P 500 saw back-to-back losses. That’s even as selling pressure on tech firms abated. A gauge of chipmakers bounced, while still heading toward its longest weekly slide since November. Treasury yields edged up after the bond market had its best day in more than a year.
Investors’ risk-off mood is likely to continue well into November, according to Bank of America Corp.’s Michael Hartnett, in another sign of how jitters around the artificial-intelligence trade and the US midterm elections have held back equity markets.
“We stay tactically risk-off until mid-Nov,” the strategist wrote in a note to clients Friday. “Expect down-in-yields, down-in-stocks, down-in US dollar trade.”
This past week’s sharp drop in AI-linked stocks is a reminder that the most popular trades tend to hurt the most when sentiment turns. When everyone owns the same story, even a small disappointment can set off a rush for the exits, according to Brian Jacobsen at Annex Wealth Management.
“The practical takeaway is not to abandon growth stocks, but to check whether one theme has quietly grown to dominate your portfolio after a long run,” he said. “Rebalancing, which means trimming what has grown too large and adding to what has lagged, is a simple way to keep risk in check without trying to predict the next move.”
Corporate Highlights:
SpaceX aims to secure a minimum of 80,000 cell sites across the US, and it’s in talks with at least one major cellular infrastructure company to reach that goal, according to people familiar with the matter. Apple Inc. has already shown there’s a strong appetite for its $2,000-and-up foldable iPhone Duo. Now it needs to meet that demand. The new device went on sale Friday, bringing back the once-familiar sight of people lining up overnight to get their hands on it first. American Express Co. is cutting 5% of its headcount globally as Chief Executive Officer Steve Squeri seeks to keep a lid on the company’s rising costs. SLB, the world’s biggest oil field services provider, said it has seen a gradual recovery in its Middle East business despite disruptions from the Iran war. Newmont Corp., the world’s biggest gold producer, surpassed forecasts on stronger-than-expected prices for the yellow metal. Some of the main moves in markets:
Stocks
The S&P 500 fell 0.4% as of 9:48 a.m. New York time The Nasdaq 100 was little changed The Dow Jones Industrial Average fell 1.1% The Stoxx Europe 600 fell 0.7% The MSCI World Index fell 0.4% Currencies
The Bloomberg Dollar Spot Index was little changed The euro fell 0.2% to $1.1197 The British pound fell 0.2% to $1.3369 The Japanese yen was little changed at 156.69 per dollar Cryptocurrencies
Bitcoin rose 0.9% to $81,906.67 Ether rose 1.3% to $2,411.4 Bonds
The yield on 10-year Treasuries advanced four basis points to 4.99% Germany’s 10-year yield advanced one basis point to 3.35% Britain’s 10-year yield advanced four basis points to 5.36% Commodities
West Texas Intermediate crude rose 3.2% to $102.62 a barrel Spot gold fell 0.1% to $4,019.63 an ounce ©2026 Bloomberg L.P.
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