Markets Overview

  • ASX SPI 200 futures down 0.4% to 8,905.00
  • S&P 500 little changed at 6,887.89
  • Dow Average down 0.2% to 47,611.16
  • Aussie down 0.2% to 0.6572 per US$
  • US 10-year yield rose 9.2bps to 4.0680%
  • Australia 3-year bond yield rose 12 bps to 3.57%
  • Australia 10-year bond yield rose 5.1 bps to 4.22%
  • Gold spot down 0.2% to $3,944.98
  • Brent futures up 0.6% to $64.77/bbl

Economic Events

  • 10:30: (AU) Australia to Sell A$2 Billion 105-Day Bills
  • 10:30: (AU) Australia to Sell A$1 Billion 133-Day Bills
  • 11:30: (AU) 3Q Import Price Index QoQ, prior -0.8%
  • 11:30: (AU) 3Q Export Price Index QoQ, prior -4.5%

Wall Street was shaken Wednesday as evidence of division at the Federal Reserve over the future of monetary policy whipsawed stocks and pushed bond yields higher.

After the central bank delivered a widely anticipated rate cut, Chair Jerome Powell counseled against trying to predict whether another reduction was likely in 2025. His remarks reined in expectations in financial markets, with traders reducing bets on a quarter-point cut in December.

“In the committee’s discussions at this meeting there were strongly differing views about how to proceed in December. A further reduction in the policy rate at our December meeting is not a foregone conclusion — far from it. Policy is not on a preset course,” he said.

Officials delivered their second straight rate reduction to support a softening labor market, and said they would stop shrinking the portfolio of assets on Dec. 1. Governor Stephen Miran dissented again in favor of a larger reduction. Kansas City Fed President Jeff Schmid said he preferred not to cut rates at all.

“Given these dissents on both sides, it might be difficult to put a down payment on December,” said Neil Dutta at Renaissance Macro Research.

The S&P 500 wiped out its gain. A gauge of megacaps climbed as Nvidia Corp. became the first $5 trillion company. In late hours, Alphabet Inc. reported solid sales. Meta Platforms Inc. sees total expenses to significantly rise in 2026. Microsoft Corp.’s expansion in its Azure unit failed to inspire traders.

The yield on two-year Treasuries jumped 11 basis points to 3.6%. The dollar advanced.