Updated
Updated · CNBC · Sep 2
Waller’s Hold Signal Lifts Dow Futures 339 Points as 10-Year Yield Slips to 4.75%
Updated
Updated · CNBC · Sep 2

Waller’s Hold Signal Lifts Dow Futures 339 Points as 10-Year Yield Slips to 4.75%

3 articles · Updated · CNBC · Sep 2

Summary

  • Dow futures rose 339 points, or 0.6%, while S&P 500 futures gained 0.4% after Fed Governor Christopher Waller said he would be inclined to support holding rates steady absent inflation surprises.
  • Rate-hike odds for the coming meeting fell to 54.6% from 63.2%, and the 10-year Treasury yield eased to about 4.75% after touching 4.818% on Wednesday, its highest since November 2023.
  • The yen added another tailwind, climbing more than 1% to 156.1 per dollar as investors saw a stronger Japanese currency helping relieve upward pressure on global yields.
  • Oil still limited the relief trade, with WTI up 1% near $92 a barrel and Brent above $96, keeping inflation concerns alive even after Wall Street snapped a three-day losing streak.
  • Single-stock moves also shaped sentiment: Snowflake jumped more than 23% on strong results and guidance, while Broadcom fell nearly 4% after a weak fourth-quarter revenue forecast.

Insights

With oil prices surging, could sticky inflation force the Fed to abandon its rate pause and crush the recent market rally?
If high Treasury yields reflect economic strength rather than stress, how long can corporate profits soar before borrowing costs bite?
Despite massive long-term AI targets, why are investors punishing tech companies for minor near-term revenue misses?