The global bond selloff is reaching dangerous levels, and it's threatening the stock market.
The 30-year Treasury yield hit 5.447% early Thursday-its highest level since 2004, while the 10-year yield is at its highest since 2007. Those stats are slightly terrifying.
Stocks are braced for another difficult day and potentially a difficult end to the year. Energy is the only bright spot, and that's as oil prices are rising.
The market is increasingly confident of another rate increase in October-the odds rose to 75% on CME's FedWatch tool early Thursday. New York Fed President John Williams said it was "reasonable" to expect another hike this year at a conference in London. But by the time the U.S. woke up, the market was firmly pricing in two hikes.
Highflying tech stocks typically get hit amid higher rate expectations, and Thursday looks no different. You wouldn't know that Meta had just unveiled a potentially pivotal AI device to support its popular Muse AI agent.
Maybe the bond pressure will break the impasse between the U.S. and Iran-if it doesn't it might break the stock market.
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📈 Here's what's happening in markets today:
Stock futures are dropping as Treasury yields near 20-year high.
Intel, Marvell, Super Micro, and more stocks that explain today's market.
Trump-Xi summit: Here's the current state of the AI battle.
MGM stock falls on failed deal. It's still a good bet.
Fed's Williams says another rate hike is 'reasonable' in 2026. The market thinks he's wrong.
Meta's Muse Charm AI gadget could be a flop but the stock won't care.
BlackBerry posts strong earnings, driven by car software.
Citi is rolling out higher rates in new push for clients' assets.
Everpure sees AI demand underpinning revenue growth.
How Micron stock could rise another 50%.
Dropbox falls on downgrade as price prematurely reflects AI growth.
🏦 Treasury yields surged to highest levels in two decades
The yield on the five-year Treasury closed at the highest level since 2007, just under 5%, and the yields on the 10- and 30-Year Treasuries all hit 52-week highs to levels reached about two decades ago, according to Dow Jones Market Data. Many pointed to a 5-year auction that many described as "failed" because of weak demand.
🌍 The Trump-Xi summit: What investors are watching
Both President Donald Trump and his Chinese counterpart Xi Jinping will focus on preserving stability when they meet today. Investors are focused on the fate of a fragile detente that expires Nov. 10, plus tariff reductions, potential deals on agriculture, energy, and artificial intelligence, and signs of cooperation on AI and the war in Iran.
🍽? CEOs flock to state dinner. One isn't on the list.
President Trump is hosting CEOs and other luminaries at a state dinner for China's visiting Xi Jinping tonight, with a guest list that includes General Motors' Mary Barra, Tesla's Elon Musk, and Nvidia's Jensen Huang, among others. Ford's Jim Farley is notably not on the list. Read more here.
🍟 McDonald's to spend $8.5 billion to accelerate changes
McDonald's sees chicken and beverages as two of its biggest opportunities to gain market share. The restaurant giant outlined some of its plans during an investor day, including an $8.5 billion strategy to help franchisees accelerate reaching its profitability goals. Read more about it here.
🏰 Disney is raising streaming bundle prices amid AI hoopla
Walt Disney is following Netflix and Comcast's Peacock in raising the prices for some of its streaming bundles as it invests in content. The move, which raises some prices by as much as 10%, comes amid this week's buzz about how AI agents will affect companies that rely on so-called "consumer inertia" with subscription platforms.
🧠 What's happening at quantum computing's big conference
Quantum World Congress has become a major hype generator for the quantum computing sector, offering companies a high-profile stage to roll out market-moving announcements. Here's what's happening at this week's conference, where Barron's is on the ground.
📰 Don't miss out on our other newsletters
Review & Preview : The Bond Market's Warning
Barron's Tech : Meta's Muse AI Puts Amazon in a Tough Spot
Global Signals : China Is Buying Oil But Don't Panic Just Yet
?? Palantir could be big winner as air-traffic control goes AI
The Federal Aviation Administration has rolled out its artificial-intelligence tool for air-traffic control at three major Washington-area airports. How well it will work remains to be seen. But at least one party couldn't be more thrilled: Palantir Technologies. Find out why here.
💬 Quote of the day:
Other headlines moving markets:
Moderna's CEO says it's more than Covid vaccines.
IonQ wants to be the Nvidia of quantum. Now they are partners.
Suddenly these AI-proof stocks are anything but.
The midterms are coming. Tech stocks may have a problem.
11 dividend stocks for a rocky market.
Gen Z is getting an early start on investing.
Nvidia has a Google AI chip conundrum.
Pipelines are pumping AI's power. 2 winning stocks to buy.
How to protect your retirement savings from AI scams.
Corient plants a flag in the Cayman Islands.
Meta's Muse AI agent triggers worries about brokerage stocks.
Royal Caribbean is buying half of Sandals Resorts.
Trump downplayed AI safety concerns, but his portfolio bought cybersecurity stocks.
Why I love Meta's AI agent Muse. Sort of.
AI won't destroy the job market.
4 risks that could derail the AI trade.
-Edited by Liz Moyer, Stacy Ozol, and Patrick O'Donnell