Nasaq futures declined at the start of the new trading week, the last one prior to the earnings season intensifying, as the 10-year Treasury yield stayed high. Futures for the Nasdaq 100, Dow Jones Industrial Average, and S&P 500 indicated declines of 0.3%, 0.2%, and 0.2%, respectively. Major stock indexes concluded the trading session on a positive note Friday, with the Nasdaq Composite reaching an all-time high, following the release of employment data indicating that the U.S. added fewer jobs than anticipated in September. The Nasdaq recorded its third consecutive weekly gain, while the Dow and S&P 500 concluded the week on a lower note. The 10-year Treasury yield, a critical indicator for various interest rates, recently stood at 5.29%, reflecting an increase of less than one basis point from Friday’s close.
The yield on Thursday reached a new 24-year peak of nearly 5.35%. Following the release of the U.S. monthly employment report on Friday, which indicated an addition of 29,000 jobs in September-significantly lower than the anticipated 84,000 and the previous month’s figure of 162,000-traders have adjusted their expectations. The probability of the Federal Reserve raising interest rates at its upcoming late-October meeting has decreased to 19%, a notable drop from 71% just a week prior, according to CME FedWatch. This week is anticipated to be relatively subdued in terms of corporate earnings reports, as the earnings season is set to commence in a more pronounced manner next week. It should be a subdued response regarding economic indicators as well. In corporate news, shares of Nvidia were up 0.5% before the bell after the world’s most valuable public company hit a new all-time high Friday.
The Roundhill Magnificent Seven ETF was little changed after all of the Magnificent Seven mega-cap tech companies advanced to end last week. Seagate Technology and Western Digital rebounded nearly 2% each after experiencing a 10% decline on Friday, following a Nikkei Asia report indicating that their Japanese competitor Toshiba plans to double its production capacity for hard disc drives. Crypto-tied stocks such as MSTR, Coinbase Global, and Circle Internet Group experienced gains in premarket trading as bitcoin surpassed the $86,000 mark. Oil prices exhibited a mixed performance, remaining relatively stable as traders assess the recent developments in the Middle East. This includes the announcement from Friday regarding the Group of Seven nations’ consensus to release 100 million barrels of crude and diesel stockpiles.
U.S. benchmark West Texas Intermediate crude futures declined by 0.4%, settling at $90.70 per barrel. In contrast, front-month Brent crude futures, serving as the international benchmark, experienced an increase of 0.5%, reaching $102.75. The U.S. dollar index, which monitors the value of the greenback relative to a selection of foreign currencies, increased by 0.3% to 102.19. The euro declined to its lowest level against the greenback since May 2025, influenced by an emerging financial crisis in France and the call for snap elections in Spain. Gold futures increased by 0.6%, reaching a price of $4,185 per ounce.
