Market Overview

U.S. inflation boosted rate cut expectations, with U.S. stocks rising over 1% across the board last Friday. $S&P 500 Index (.SPX.US)$ and $Nasdaq Composite Index (.IXIC.US)$ halted a three-day losing streak but still marked two consecutive weeks of losses for the first time in three months. $Dow Jones Industrial Average (.DJI.US)$ posted its first four-week gain in two months. Small-cap indice rose 3.5% for the week, marking a three-week gain streak. During earnings week, $Tesla (TSLA.US)$ fell over 8%, and $Alphabet-A (GOOGL.US)$ dropped 6%. The pan-European stock index rebounded on Friday, posting a slight gain for the week, with Hermès rising over 3% post-earnings and Kering falling nearly 10%.

U.S. Treasury yields fell faster after the PCE report, with the 10-year yield hitting a one-week low and the 2-year yield dropping more than 10 basis points for the week. The dollar index turned lower after the PCE report; the yen rebounded, gaining over 1% from its intraday low and rising more than 2% for the week, marking its biggest weekly gain in over two months. Bitcoin surged over $2,000 intraday, crossing the $68,000 mark. Ethereum fell nearly 8% since the start of the week amid its spot ETF trading debut.

Commodities saw broad declines for the week. On Friday, crude oil halted a two-day rise, nearing a six-week low, and posted a three-week decline. Gold rebounded over 1%, closing above the monthly low but still marking a two-week decline. Silver fell over 4% for the week. LME lead rebounded nearly 2%, nickel ended a nine-day losing streak, copper fell, nearing a three-month low, and tin fell nearly 5% for the week.