Inflation swaps rising, potential negative impact on stocks if key data surprises

From Investing.com: 2025-01-08 02:36:00

The economic data released yesterday caused markets to move dramatically. The ISM Services Index was strong, with the Prices Paid Index standing out. The 10-year Treasury yield rose to 4.69%, and a 10-year Treasury auction occurred. Today features more data releases, including jobless claims and ADP payrolls. The FOMC minutes at 2 PM could impact the 30-year auction. Markets are now predicting a Fed rate cut in July 2025. Yields are climbing globally, except in China. Inflation swaps rose, and equities struggled, with Nvidia contributing to the decline. It’s a focus on rates, the dollar, and inflation expectations moving forward.



Read more at Investing.com: Inflation Swaps Break Higher, Signaling More Pain for Stocks if Key Data Surprises