- Asian equities were neutral after the highest US inflation print in three decades weighed on Wall Street and spurred a rise in government yields amid concerns that monetary policy may be tightened more swiftly.
- Japan and China's shares increased, while Hong Kong's equities fluctuated. As investors questioned the pricier valuations of technology firms, the S&P 500 fell and the Nasdaq 100 lagged. Futures in the US crept higher, with Tesla surging in extended trading after a filing revealed that Elon Musk sold approximately $1.1 billion of Tesla stock for tax purposes, providing some clarity on his plans. Expectations were raised as a result of evidence of building price pressures.
- The evidence of rising building prices has accelerated forecasts of interest-rate hikes. Treasury yields have risen across the yield curve, with the 10-year yield rising by more than 10 bps. The tension was heightened by a poorly accepted 30-year sale. Australian and New Zealand sovereign bonds fell. Due to a US holiday, there will be no cash treasuries trading.
- The dollar had reached a one-year high. Gold pared its gains, as bitcoin whirled, reaching a new all-time high before falling down. Oil has recovered from a drop driven in part by a surprise increase in US stocks.