August 23, 2022
Bond Yields Climb as Stocks Struggle for Direction: Markets Wrap
Bond yields climbed while stocks struggled for direction, with traders awaiting more clarity on the Federal Reserve’s monetary policy path from the Jackson Hole central bankers’ symposium later this week.
The S&P 500 was little changed after the US equity benchmark saw its worst day since mid-June. The 10-year Treasury yield held above 3% and a gauge of the dollar wavered.
France Unexpectedly Joins Germany With Shrinking Economy
French output is contracting for the first time in a year and a half, mirroring the trend seen in Germany as Europe’s biggest economies succumb to record inflation and increasing uncertainty from the war in Ukraine.
A gauge of French private-sector activity by S&P Global dropped in August to its lowest level since the pandemic-related disruptions of early 2021. It fell more than economists had expected, dipping below the threshold that separates expansion from contraction.
Singapore Inflation at Highest in 14 Years on Food, Fuel
Singapore’s key core inflation measure climbed to the highest level in almost 14 years last month, heaping pressure on monetary policy makers to do more to fight price gains.
The core inflation gauge, which excludes private transport and accommodation, rose 4.8% in July from a year ago, according to a joint statement from the Monetary Authority of Singapore and the Ministry of Trade and Industry on Tuesday. That was the highest since November 2008 and compares with the 4.7% median estimate in a Bloomberg survey.
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