- Global bond prices fell again on Thursday, pushing the benchmark Treasury yield to a new 16-year high. The oil rally has paused, and stock markets have stabilised.
- Traders are pushing yields higher on the assumption that US policymakers will maintain tight policy as oil prices fuel inflation. The 10-Yr Treasury yield increased four basis points to 4.647%.
- After briefly exceeding $95 per barrel for the first time in more than a year, the US benchmark oil price settled after a drop in stockpiles at a major storage hub highlighted a widening global deficit. The dollar fell after its longest winning streak in a year, and S&P 500 futures were little changed.
- Central banks' hawkish commentary has dashed hopes for a rate cut anytime soon, making September the worst month for global stocks in a year and the worst month for global bonds since February.
- Fed's Powell and a few other central bank officials are scheduled to speak later Thursday. US GDP and initial jobless claims are due ahead of Friday's personal consumption expenditures price, the Fed's preferred inflation gauge.
- German Economic Institutes forecast 0.6% GDP contraction in Germany in 2023, 1.3% growth in 2024 and 1.5% growth in 2025.
