Equities fall as U.S. Treasury yields, dollar stay elevated

hl.co.uk:

We don’t support this browser anymore.
This means our website may not look and work as you would expect. Read more about browsers and how to update them here.

Newsroom

Newsroom articles are published by leading news agencies. Hargreaves Lansdown is not responsible for an article's content and its accuracy. We may not share the views of the author.

HL Podcast

HL Insight

A global equity index lost more than 1% on Tuesday in a choppy trading session as fears of higher-for-longer interest rates ate into appetites for riskier assets while the benchmark U.S. Treasury yield remained near 16-year highs.

Article originally published by Reuters. Hargreaves Lansdown is not responsible for its content or accuracy and may not share the author's views. News and research are not personal recommendations to deal. All investments can fall in value so you could get back less than you invest.

Published by

27 Sep 2023

The dollar index hit a 10-month high while the Japanese yen came closer to a key level, where Japanese officials are seen as potentially intervening to shore up the currency.

Wall Street's major stock indexes followed Asian and European equities lower as investors continued to digest last week's indication from the Federal Reserve that it would keep rates higher for longer than investors had previously expected.

However, Minneapolis Fed President Neel Kashkari said on Tuesday that he sees a «soft landing» for the U.S. economy as likelier than not, but also sees a 40% chance that the Fed will need to raise rates «meaningfully» higher to beat inflation.

Nervousness in the market was also exacerbated by the prospects of a government shutdown. The Republican-controlled House of Representatives is pushing to advance steep