- On Wednesday, the dollar dropped from a 10-month high and Treasury yields decreased, easing the global financial crisis.
- US index futures were higher, suggesting that the S&P 500, which fell to a four-month low on Tuesday, will rebound. The benchmark for the global cost of capital, ten-year Treasury yields, fell below 4.8% this week after increasing by 30 basis points.
- The better-than-expected US job data released on Tuesday and a spate of hawkish remarks from Federal Reserve officials have both contributed to the selloff's most recent leg. The 30-year yield reached 5% for the first time since 2007 as belief in the potential for future US interest rate increases from their present 22-year highs rose. The possibility of a hike in November is one in three, and the chances of a change in December is greater than 50%.
- Following Tuesday's JOLTS survey, information on U.S. private payrolls that is anticipated soon from the ADP Research Institute could spark additional turbulence.
- Following its best close since late November, a measure of the dollar's performance against a basket of Group-of-Ten peers fell for the first time this week.
- Saudi will continue voluntary cut of 1 mln bpd until December.
- ECB's Centeno: We can expect that the interest rate cycle has been completed by now and with present conditions.
