RE:RE:RE:FTN sell taken out.... premium climbingFrom the TD trading desk:
U.S. stocks saw their losses accelerate on Thursday, reversing most of the S&P 500’s gains from its best session in three weeks a day earlier, as Treasury yields whipsawed, keeping investors on edge ahead of Friday’s monthly jobs report from the Labor Department.
On Wednesday, the Dow Jones Industrial Average rose 127 points, or 0.39%, to 33,130, snapping a three-day losing streak, while the S&P 500 gained 34 points, or 0.81%, to 4,264 for its biggest percentage-point gain in three weeks, FactSet data show.
Treasury yields were volatile in early trade on Thursday, which added to pressure on U.S. stocks as investors digested a batch of fresh economic data ahead of Friday’s all-important September jobs report.
The yield on the 10-year Treasury note BX:TMUBMUSD10Y was last pegged at 4.73%, near a 16-year high reached earlier this week. Bond yields move inversely to prices.
“I think the momentum is still on the down side,” said Liz Ann Sonders, chief investment strategist at Charles Schwab, in a phone interview with MarketWatch. “There’s nothing specific that you could point to today.”
A weekly report on jobless-claims data showed no sign that layoffs have been increasing. Rising layoffs are seen as a necessary prerequisite for the Federal Reserve to start easing its monetary policy, which has weighed on both stocks and bonds since early 2022. Government data showed the number of Americans who applied for unemployment benefits last week rose slightly to 207,000, but remained near pandemic-era lows.
See: U.S. jobs report forecast: 170,000 new workers and 3.7% unemployment