- Stocks were little changed as traders weighed earnings from some of America's largest banks and comments from two Federal Reserve officials who advocated for more rate hikes to combat inflation.
- The S&P 500 gained ground. The Cboe Volatility Index fell below 17 for the first time since January 2022. Goldman Sachs Group Inc. fell after its earnings revealed that traders failed to capitalise on Wall Street's fixed income boom, contributing to firmwide revenue that fell short of expectations. Bank of America increased after its profit exceeded expectations.
- Treasury two-year yields, which are more sensitive to upcoming policy changes, increased to 4.2%. Raphael Bostic, President of the Federal Reserve Bank of Atlanta, told CNBC that he favours raising rates one more time and then keeping them above 5% for some time to combat inflation. Separately, his St. Louis counterpart, James Bullard, who has been among the more hawkish policymakers, told Reuters that he prefers rates in the 5.5% to 5.75% range. The current benchmark ranges from 4.75% to 5%.
