US stocks were taking a hit as Treasury yields surged to the highest level this year, sparking concerns over restrictive monetary policy. With futures for the S&P 500 pointing to a second day of declines, investors are closely watching key data releases that could shape their stance on monetary policy.
Global equities are on track for their worst week in months, as dwindling expectations of US rate cuts and shaky US auctions raise worries about funding the deficit. BlackRock International Ltd. remains cautious, focusing on the front end and belly of the US Treasuries curve for stability amid fading US easing optimism. Despite favoring tech companies, BlackRock is witnessing increased inflows into European and Japanese equities, buoyed by an anticipated rate cut from the European Central Bank and improving macro data in Europe.
In corporate news, Goldman Sachs initiated coverage of several pharmaceutical stocks, while China gears up to penalize PricewaterhouseCoopers LLP over its involvement in a major financial fraud case. On the IPO front, luxury sneaker brand Golden Goose Group SpA is set for a Milan listing, and Saudi Arabia is preparing to launch a secondary share offering for oil giant Aramco.
As markets navigate evolving monetary policy landscapes and geopolitical uncertainties, staying informed and agile is key to successful investing in the current climate of volatility.