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- Technology stocks rose amid lower treasury yields on news that inflation is on the rise, boosting firms that are better positioned to pass on rising costs to customers without damaging their operations.
- Traders also assessed minutes of the federal reserve’s latest policy meeting, with officials broadly agreeing they should start reducing stimulus in mid-November or mid-December amid increasing concern over inflation.
- Traders also looked at the minutes from the Federal Reserve's most recent policy meeting, which showed that policymakers were mostly in agreement that they should start decreasing stimulus in mid-November or mid-December due to rising inflation concerns.
- The tech-heavy Nasdaq 100 beat major equity benchmarks, while the NYSE FANG+ index of behemoths like Amazon and Alphabet rose around 1%.
- After a three-day decline, the S&P 500 recovered. Yields on ten-year bonds remained below 1.6%. The two-year rate, which is more responsive to policy changes, increased. After warning that increasing fuel prices would imperil profitability this quarter, Delta Airlines led losses among US airlines.
- Consumer prices in the United States increased more than expected in September, highlighting inflationary pressures. The Biden administration is attempting to alleviate supply-chain bottlenecks in time for the holiday shopping season, but officials recognize that their choices are limited.
- Producers' expenses have risen as a result of exceptional transportation issues, material shortages, high commodity prices, and growing salaries. Several businesses have passed on a part of those expenses to their consumers, resulting in higher, longer-term inflation.
