Finance

Bond yields surged as market participants priced in a more restrictive Federal Reserve policy stance through the end of 2026. The 10-year Treasury yield rose toward 4.5% while the 2-year yield hit 4.16%, reflecting fears that sticky inflation will prevent near-term monetary easing.

Honeywell International maintained its full-year 2026 financial guidance as it prepares for the planned separation of its aerospace division on June 29. The company also initiated a preliminary outlook for the remaining entity, which will operate as Honeywell Technologies following the completion of the strategic divestiture.

Despite recent volatility, prominent financial institutions like Citigroup and Goldman Sachs have raised their year-end forecasts for the S&P 500 to 8,100 and 8,000 points, respectively. Analysts cite an artificial intelligence-driven supercycle and resilient corporate earnings growth of up to 24% as primary drivers for the index's continued upward trajectory.