Market Overview

The dovish stance of the Bank of Japan calmed market sentiment, with $Dow Jones Industrial Average (.DJI.US)$ initially surging by as much as 480 points or 1.2%, $S&P 500 Index (.SPX.US)$ up by 1.7% at its peak, $Nasdaq Composite Index (.IXIC.US)$ by 2.1%, $Russell 2000 Index (.RUT.US)$ by 1.5%, the Philadelphia Semiconductor Index by 3.8%, and the Chinese Concept Stocks Index by 1.5%.

However, due to rising Middle East tensions and weak demand for the 10-year US Treasury auction, the market's rebound was short-lived. By the afternoon, US stocks had reversed and closed at their daily lows. $PHLX Semiconductor Index (.SOX.US)$ dropped more than 3%, and $CBOE Volatility S&P 500 Index (.VIX.US)$ , which had fallen nearly 21%, turned positive. $NVIDIA (NVDA.US)$ surged 4.4% before turning to close down more than 5%, falling below the $100 psychological mark for the first time in three months. $Tesla (TSLA.US)$ rose 1.45% before falling 4.4%, while $Apple (AAPL.US)$ rose 1.3%, ending a two-day losing streak. Poor earnings caused $Advanced Micro Devices (AMD.US)$ , an "AI darling," to plummet more than 20% to a six-month low, and $Novo-Nordisk A/S (NVO.US)$ fell over 8%.

The yield on the 10-year US Treasury rose nearly 10 basis points to 3.98%, completely erasing last Friday's drop following weak non-farm payroll data.

The yen fell for the second consecutive day, dropping as much as 2.5% during the session to approach 148, wiping out gains since last Friday.

US oil inventories fell for the sixth consecutive week to a six-month low, with oil prices rising more than 3% intraday. European natural gas rose nearly 5% to its highest level this year. Gold rose before retreating, silver fell about 1.4%, and copper in London fell 1.8% to a five-month low.