Wall Street slides on higher yields as Australian markets stay flat and Baltha creditors convene
U.S. equities fell after stronger jobs data lifted bond yields, while Australian futures pointed to a flat opening and a meeting of Baltha Group creditors is set to decide the firm’s fate.
U.S. stock indexes slipped after robust jobs growth raised expectations for higher bond yields, with the S&P 500 down 0.4%, the Dow 0.5% and the Nasdaq 0.3%. Treasury yields on the 10-year note rose to roughly 4.78%, narrowing the odds of a Federal Reserve rate hike this month. In Australia, ASX 200 futures hovered at 9,002 points, indicating a likely flat start for the local market.
Commodity prices showed modest moves, with gold falling 1% and Brent crude gaining 0.8%. The Baltha Group, burdened by $3.4 billion in debt, faces a creditors’ meeting that could halt work across its many sites as early as today. The day’s financial coverage also noted a quiet data calendar aside from ANZ-Indeed job ad figures and a recent U.S. strike on Iranian tankers in the Strait of Hormuz.
Why it matters
The shifts in U.S. yields affect global equity markets, while Baltha's creditor decision could impact thousands of construction jobs in Australia.
How this story developed
- Aug 19 Fed officials warn higher rates may be needed if inflation stays elevated
- Aug 26 The minutes disclosed a 9‑3 vote to hold rates at 3.6% while noting possible future hikes.
- Aug 30 Precious-metal futures fell sharply last week, with gold down about 3.8% and silver about 4%, as traders await US employment figures and Fed policy cues.
- Aug 31 Fed researchers released a study linking higher expected gasoline price growth to modest increases in one‑year inflation expectations.
- Sep 3 Federal Reserve Governor Christopher Waller said the upcoming August inflation report will largely determine whether he backs a rate hike at the September meeting.
- Sep 6 Gold has dropped sharply since its January peak.
- Sep 6 European markets stayed steady following the strong U.S. jobs report while the Fed awaits the August inflation data.
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