Treasury Yields Resumed Advance Crude and Oil Prices Stayed Elevated as Investors Focused On Upcoming Earnings

Barry Adams
16 Oct, 2023
New York City

Stocks on Wall Street advanced as investors focused on earnings and bond yields advanced amid rising geopolitical tensions. 

Benchmark indexes struggled to advance in Monday's trading and investors looked ahead to a fresh batch of earnings including quarterly updates from Bank of America, Tesla, Netflix and Johnson & Johnson. 

Benchmark S&P 500 index and the Nasdaq Composite index advanced in morning trading and extended gains of the previous week. 

Crude oil prices remained elevated on the worries of widening war in the Middle East as Israel prepares for its ground offensive in Gaza and the United Nations warned of an impending humanitarian crisis in the region. 

 

U.S. Indexes & Yields 

The S&P 500 index increased 0.6% to 4,353.43 and the Nasdaq Composite added 0.4% to 13,466.07. 

The yield on 2-year Treasury notes increased to 5.09%, 10-year Treasury notes inched higher to 4.71% and 30-year Treasury bonds edged up to 4.86%. 

Crude oil decreased $0.20 to $87.64 a barrel and natural gas prices eased 15 cents to $3.08 a thermal unit. 

The dollar index edged higher to 106.48, the level last seen in November 2022 and extended gains from the low of 99.85 on July 13, 2023.  

 

U.S. Stock Movers 

Big banks were in focus on the second day after Wells Fargo, Citigroup and JPMorgan Chase reported stronger-than-expected earnings. 

Rite Aid Corp declined 6% to 61 cents after the drug retailer filed for bankruptcy protection as the company struggled under the weight of hundreds of cases linked to opioid prescriptions. 

Pfizer Inc gained 4.5% to $33.69 after the pharmaceutical company lowered its annual revenue guidance. 

Pfizer revised lower its 2023 revenue in the range between $58 billion and $61 billion, from the previous estimate between $67 billion and $70 billion on the weakening demand for its Covid products. 

The company also lowered its full-year adjusted earnings per share outlook to a new range of $1.45 to $1.65 from the previous estimate between $3.25 and $3.45.