U.S. Stocks Drop Most Since May, Bond Rout Worsens: Markets Wrap
- S&P 500 slides below 50-day moving average as selloff deepens
- Dollar softens as the pace of hiring in the U.S. slows
RBC Says Monetary Policy Will Remain Loose in Europe
The hawkish tone from developed-nation central banks continued to roil financial markets, with U.S. stocks falling the most in seven weeks, Treasury yields rising to levels last seen in May and crude settling below $46 a barrel.
The 10-year yield climbed to 2.37 percent, with DoubleLine Capital’s Chief Executive Officer Jeffrey Gundlach saying the selling has only just begun. The S&P 500 Index closed below its 50-day moving average for the first time in seven weeks, with yield-sensitive shares leading losses. The dollar weakened following a private report that showed the pace of U.S. hiring moderated before Friday’s government payrolls data. The yield on benchmark German bunds hit the highest since January 2016.