Finance

U.S. government bond yields extended their upward momentum to start the week as investors braced for the implications of sustained inflation. Driven by strong macroeconomic data and persistent geopolitical friction, the 10-year Treasury note yield is hovering around multi-decade highs near 5.16%, adding persistent pressure to borrowing costs.

Major stock index futures trended lower on Monday morning following a temporary relief rally at the end of last week. Market participants are increasingly factoring in a hawkish outlook for the Federal Reserve's late October meeting, tracking a roughly 66% probability of another interest rate hike due to elevated energy costs and robust economic conditions.

Major asset managers in the private credit market, including Apollo Global Management and Blackstone, have moved to cap quarterly investor redemptions at 5%. The decision follows intensified redemption requests reaching up to 14.7% as investors raise concern over asset quality transparency and software-exposed valuation risks from generative artificial intelligence disruptions.