US Stocks Rise Amid Middle East Tensions as Bond Market Waits for Jackson Hole
US stocks rose on Friday as investors digested solid economic data and monitored developments in the Middle East. The Dow Jones Industrial Average gained about 1% while the Nasdaq Composite ended a five-day losing streak, but all major indices still posted weekly declines.
The Treasury yield surge has put the bond market on edge ahead of Federal Reserve Chair Kevin Warsh's first address at the Jackson Hole Economic Symposium next week. Warsh's speech will be a critical moment for markets to assess his monetary policy framework and determine if he will provide forward guidance, contributing to the sharp rise in Treasury yields.
Iran responded swiftly to US Secretary Scott Bessent's announcement of new sanctions on Monday, with Iranian Foreign Ministry spokesman Baghaei describing the move as 'an arrogant assertion of extraterritorial sovereignty over every independent member of the United Nations.'