Inflation Jumped — Why Stocks Rallied Anyway
Inflation accelerated in August and the market pushed Federal Reserve rate-hike odds toward 90% — but the S&P 500 rallied anyway. Investors now turn to Wednesday’s Fed decision to see whether policymakers view the rebound as temporary or a sign that inflation is becoming harder to contain.
Oil Jumps 5% as 10-Year Yield Hits 4.81% and Gold Falls
Oil surged as renewed fighting near the Strait of Hormuz pushed energy prices higher while the 10-year Treasury yield reached about 4.81%. Gold’s decline reveals the bigger market tension as investors weigh geopolitical risk against higher yields, a stronger dollar and the next test from U.S. labor data.
Rate-Hike Odds Hit 66% as Oil Hits $92 and Yields Rise
Rate-hike odds have climbed to 66% as oil trades near $92 and the 10-year Treasury yield reaches its highest level since January 2025. With gold falling and major employment reports approaching, the next question is whether labor data confirms the market’s latest repricing or challenges it.