Oil surge keeps US bond yield concerns in focus
Brent crude moved above US$98 a barrel as the 10-year Treasury yield approached 4.8%, fuelling concern about possible Federal Reserve action next week.
Long-term US Treasury yields continued to rise as oil prices climbed amid ongoing Iran-US tensions in the Middle East, renewing market concerns that the Federal Reserve may raise interest rates at its meeting next week.
The 10-year Treasury yield reached about 4.8% in the first few minutes of trading on Monday, according to a Yahoo Finance market check. Brent crude futures moved above US$98 a barrel.
Goldman Sachs analysts said there was a scenario in which oil could reach US$120 a barrel. The level was presented as a possibility, rather than a confirmed forecast or outcome.
Early sector moves reflected the pressure from higher yields and energy prices. Energy shares rose more than 1%, while financial and consumer-discretionary shares fell. Technology shares edged higher as Nvidia and other chip stocks posted slight gains.
Tesla, Sandisk and Alibaba were among the stocks attracting attention from Yahoo Finance readers. The market moves reported were limited to the early trading period, while a Federal Reserve rate rise remains unconfirmed.
