S&P 500 Futures Rise in Asia as US Treasury Yields Climb

(Seoul=Yonhap Infomax) Kyung Pyo Hong – On the 26th, US equity index futures advanced in Asian trading, while US Treasury yields moved higher.

According to the Yonhap Infomax index futures dashboard (screen no. 6520), as of 10:40 AM KST, E-mini S&P 500 futures were trading at 6,795.75, up 0.21% from the previous session.

The tech-heavy E-mini Nasdaq 100 futures rose 0.30% to 25,159.75.

Overnight, all three major US stock indices rebounded, buoyed by renewed optimism surrounding artificial intelligence (AI) themes.

Shares of Meta Platforms Inc. and Alphabet Inc. gained after reports that Meta is considering adopting Google’s Tensor Processing Units (TPUs) in its data centers, while Nvidia Corp. shares declined.

Broadcom Inc., a leading player in the custom AI chip (ASIC) market, also climbed nearly 2% on expectations for the TPU segment.

US equity index futures in Asia tracked the positive momentum from the New York session.

Clark Bellin, President and Chief Investment Officer at Bellwether Wealth, noted, “Stocks are recovering from recent declines, indicating that bargain hunters remain active.”

Investors continue to monitor variables that could influence the Federal Reserve’s monetary policy decision next month.

Recent US economic data, including the September Producer Price Index (PPI) and September retail sales, came in weaker than expected, supporting the case for a potential Fed rate cut in December.

Additionally, reports surfaced that Kevin Hassett, White House National Economic Council (NEC) member and economic adviser to former President Donald Trump, is a leading candidate for the next Fed chair.

Hassett is viewed by markets as more likely to pursue rate cuts.

US Treasury yields rose in Asian trading.

According to the Yonhap Infomax overseas rates dashboard (screen no. 6531), the yield on the 10-year US Treasury was up 0.8 basis points at 4.0060%.

The 30-year yield, a long-dated benchmark, rose 0.50 basis points to 4.6540%, while the policy-sensitive 2-year yield gained 0.60 basis points to 3.4750%.

The US dollar index declined.

According to the Yonhap Infomax dollar index dashboard (screen no. 6400), the dollar index was down 0.15% at 99.699.

kphong@yna.co.kr

(End)