WS #15863
September CPI came in hotter than expected at 3.7% YoY, reigniting fears of a Federal Reserve rate hike in October. The data caused Treasury yields to jump across the curve and the US Dollar to advance to its highest level since May 2025. This shift in monetary policy expectations is pressuring growth stocks, high-multiple tech, and Bitcoin, which has dipped below $83,000 as traders adjust their rate outlooks. State Street slumped 8.5% in premarket trading after its Q3 fee revenue failed to meet expectations, reflecting headwinds in wealth management. Accenture rose 3% on a stronger FY29 outlook, while Progressive dipped as policies in force rose less than expected. These mixed results highlight the divergent health of financial services and professional services sectors amid the current macro environment.
Fed Hike Fears and Dollar Surge
September CPI came in hotter than expected at 3.7% YoY, reigniting fears of a Federal Reserve rate hike in October. The data caused Treasury yields to jump across the curve and the US Dollar to advance to its highest level since May 2025. This shift in monetary policy expectations is pressuring growth stocks, high-multiple tech, and Bitcoin, which has dipped below $83,000 as traders adjust their rate outlooks.
State Street slumped 8.5% in premarket trading after its Q3 fee revenue failed to meet expectations, reflecting headwinds in wealth management. Accenture rose 3% on a stronger FY29 outlook, while Progressive dipped as policies in force rose less than expected. These mixed results highlight the divergent health of financial services and professional services sectors amid the current macro environment.