Traders work on the floor of the New York Stock Exchange in New York on Sept. 16, 2026.<\/p>\n
Timothy A. Clary | AFP | Getty Images<\/p>\n
Stock futures were flat early Thursday after surging yields in Treasurys sparked a sell-off in the market and traders anticipated rate hikes from the Federal Reserve.\u00a0<\/p>\n
S&P 500 futures<\/a> were down 0.31%. Nasdaq-100 futures<\/a> slipped 0.34%.\u00a0<\/p>\n During the regular trading day, the S&P 500<\/a> slid 0.8%. The Nasdaq Composite<\/a> lost 1.1% and broke a four-day win streak.<\/p>\n In Asia-Pacific, Japan’s\u00a0Nikkei 225<\/a>\u00a0added 1% following three consecutive days of holiday, while the Topix dropped 0.09%. Australia’s benchmark S&P\/ASX 200<\/a> was 0.76% lower. South Korea’s markets are closed for a holiday. Hong Kong’s\u00a0Hang Seng index<\/a>\u00a0dropped 0.52%, while mainland China’s CSI 300 was down 1.29%.<\/p>\n The benchmark 10-year Treasury note yield<\/a>, which is tied to rates on mortgages, surged to 5.135% for its highest level since July 2007. The yield on the 2-year note<\/a> climbed to 4.947% for its highest since May 2024.<\/p>\n As yields surged, so did the market’s anticipation of further rate hikes from central bank policymakers. Fed funds futures trading suggests a greater than 68% likelihood that the policy-setting Federal Open Market Committee lifts its key rate once more in October, according to the CME FedWatch tool<\/a>. That compares to a roughly 49% probability just a week ago.<\/p>\n Higher yields tend to squeeze consumers’ finances as they face higher borrowing costs<\/a> at a time when they’re already paying more in fuel costs.<\/p>\n Oil prices bounced Wednesday. International Brent crude futures<\/a> rose about 3.9% to settle at $103.08 a barrel, while West Texas Intermediate crude<\/a> gained 1.8% to $92.16.<\/p>\n Readings from S&P Global’s manufacturing and services purchasing managers’ indexes suggested that U.S. businesses are continuing to boom. BMO Capital Markets said in a Wednesday note that even as the results were strong, “severe supply chain bottlenecks,” as well as higher fuel and transport prices, can drive inflation.\u00a0<\/p>\n “Overall, it was a much stronger-than-expected read on US business activity that implies ample latitude for both policy rates and Treasury yields to push higher in the near-term,” said Vail Hartman, a U.S. rates strategist at BMO. “If anything, the data reinforces the risk of a renewed acceleration in demand-driven inflation even if supply-side inflation subsides.”\u00a0<\/p>\n Going into Thursday, traders will be watching weekly jobless claims for further details on the state of the economy. On the earnings front, they’ll also look for quarterly results from Olive Garden parent Darden Restaurants<\/a> in the morning and big-box retailer Costco Wholesale<\/a> in the afternoon.<\/p>\n","protected":false},"excerpt":{"rendered":"Traders work on the floor of the New York Stock Exchange in New York on Sept. 16, 2026.…\n","protected":false},"author":2,"featured_media":858680,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[27],"tags":[116,28,122,5249,93533,63284,120,124435,112,63286,121,63285,117,114,13951,15487,15486,15491,124084],"class_list":["post-858679","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-breaking-news-markets","tag-business","tag-business-news","tag-costco-wholesale-corp","tag-darden-restaurants-inc","tag-dow-jones-fut-sep25","tag-dow-jones-industrial-average","tag-ice-brent-crude-oct25","tag-markets","tag-nasdaq-100-fut-sep25","tag-nasdaq-composite","tag-sp-500-fut-sep25","tag-sp-500-index","tag-stock-markets","tag-suppress-zephr","tag-u-s-10-year-treasury","tag-u-s-2-year-treasury","tag-u-s-30-year-treasury","tag-wti-crude-sep25"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/858679","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=858679"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/858679\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/858680"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=858679"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=858679"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=858679"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}