Finance

The benchmark 10-year Treasury note yield rose significantly to around 5.35%, marking levels not witnessed since 2002, while the 30-year bond yield hovered near a 24-year high. Tighter financial conditions were reinforced by Federal Reserve Governor Christopher Waller, who signaled that additional interest rate hikes may still be required to bring inflation back to target.

The cryptocurrency market experienced a downward shift, with Bitcoin dipping below the $84,000 threshold. Despite recent strong momentum and positive regulatory developments earlier in the week, the digital asset succumbed to the broader pressure of escalating global borrowing costs and rising crude prices. Other major digital assets like Solana also registered losses as investor sentiment cooled.

While macroeconomic factors dominated trading, corporate fundamentals provided some optimism as the third-quarter corporate earnings season kicked off with early results from consumer bellwethers like PepsiCo. S&P 500 earnings growth for the quarter is estimated to reach nearly 30%. If realized, this performance would mark the third consecutive quarter of growth exceeding 25%.