Bond Yields Soar, Stocks Waver Amid Hawkish Comments

The US stock market is experiencing mixed results today, with the S&P 500 Index down -0.02% and the Nasdaq 100 Index up +0.17%. The Dow Jones Industrial Average is up +0.24%, while September E-mini S&P futures are down -0.02%. The overall sentiment is influenced by stronger-than-expected US economic news, which has pushed bond yields higher.

The 10-year T-note yield jumped to a 1.5-year high of 4.74% today. This increase in bond yields weighs on stocks and contributes to the mixed results seen in the market. Hawkish comments from Dallas Fed President Lorie Logan also pushed bond yields higher, as she stated that 'Without any policy restraint, inflation will likely continue to trend above target until there's an unanticipated shock.'

Despite the overall negative sentiment, some sectors are performing well. Chipmakers and AI-infrastructure stocks are extending Thursday's gains, with the Philadelphia Stock Exchange Semiconductor Index up more than +1%. Amazon.com is also a notable gainer, up more than +14% after reporting strong results from its cloud unit.