On Wednesday (7 October, 9:20 AM, GMT+7, Bangkok time), major indices in the Asia-Pacific declined, following a different trajectory from U.S. stock markets, where both the S&P 500 and Nasdaq Composite ended at new highs. These fresh records in the U.S. were supported by optimism around artificial intelligence stocks, with market activity picking up ahead of the upcoming earnings season.
On the fixed income side, U.S. Treasury yields paused their recent climb. After a consistent rise since late February—coinciding with the onset of conflict between the U.S., Israel, and Iran—the 10-year Treasury yield eased to 5.286%, after peaking at its highest level since 2002 earlier in the week. The 30-year yield remained near 5.661%, and the 2-year yield edged down to 4.798%.
Market participants are looking ahead to the release of the latest Federal Reserve meeting minutes on Wednesday stateside, which are expected to provide insights into the central bank’s views following its first interest rate increase since 2023. The minutes will give investors additional context on the economic outlook and possible future policy moves.
Notably, markets in mainland China remain closed for a holiday.
Japan’s NIKKEI fell by 0.54% to 70,304.70. South Korea’s KOSPI lost 0.81% to 6,885.13, and Australia’s ASX 200 slid by 0.05% to 8,731.40. Hong Kong’s HSI contracted by 0.67% to 24,116.93.
The U.S. stock markets edged up on Tuesday as the Dow Jones Industrial Average (DJIA) rose by 0.49% to 51,521.28. NASDAQ grew by 0.45% to 27,599.88, and S&P 500 increased by 0.58% to 7,818.93. VIX dropped by 3.29% to 15.01.
As for commodities, oil prices settled higher on Tuesday as traders balanced the prospect of greater Middle East oil shipments and the G7’s upcoming release of emergency fuel reserves against ongoing threats to supply stemming from Houthi attacks. Brent crude finished the session up 26 cents, or 0.3%, at $100.58 per barrel. U.S. West Texas Intermediate crude recorded a marginal gain of 1 cent, closing at $89.44 per barrel.
This morning, Brent futures gained 86 cents, or 0.86%, to $101.44 per barrel, and WTI futures advanced 81 cents, or 0.91%, to $90.25 per barrel.
Meanwhile, gold futures dipped by 0.43% to $4,168.90 per Troy ounce.
