Strong Data Lifts U.S. Treasury Yields; Stocks and Crypto Rebound, Oil Plunges

Market Overview

U.S. economic data came in stronger than expected on Wednesday, with both the ADP employment report and ISM services index exceeding forecasts. Market reactions, however, were mixed. Supported by several major tech names, all three major U.S. stock indexes logged their first collective gain of the week. Alphabet (Google) hit a record high, Tesla jumped 4%, and the Philadelphia Semiconductor Index rebounded 3%, led by Micron, which surged nearly 9%. In contrast, NVIDIA slipped almost 2%.

Robust data pushed Treasury prices lower, sending yields to a one-month high following the ISM release. The U.S. dollar index initially spiked to a five-month high but later reversed sharply.

After several days of heavy losses, cryptocurrencies rebounded, with Bitcoin briefly reclaiming the $104,000 level — a more than 5% rebound from Tuesdays low. Gold and London copper also stabilized after previous declines. However, a surprise jump in U.S. EIA crude inventories led oil prices to tumble, with WTI crude falling below $60 per barrel, marking a two-week low.

Hot Topics Ahead

● U.S. Government Shutdown Hits Record 36 Days

The U.S. government shutdown has entered its 36th day, marking the longest in history. On November 5, Donald Trump acknowledged the negative impacts on equities, aviation, and the SNAP food assistance program, but maintained optimism that stocks would reach new highs. He also urged Republicans to end the Senate filibuster to expedite reopening the government.

● U.S. October ISM Services PMI Hits 8-Month High

The ISM Services PMI rose to 52.4 in October (vs. 50.8 expected; 50 prior), with new orders surging to a one-year high. While demand rebounded, inflation pressures intensified — the input prices index climbed to 70, the highest in three years. Employment conditions are stabilizing, although the relevant sub-index remains in contraction territory.

Key Events to Watch (GMT+8)

20:30 – U.S. Challenger Job Cuts (Oct)

23:00 – U.S. Global Supply Chain Pressure Index (Oct)

00:00 – Fed Governor Barr participates in an online panel

01:00 – 2026 FOMC voter & Cleveland Fed President Mester speaks at the New York Economic Club

05:30 – 2026 FOMC voter & Philadelphia Fed President Harker delivers remarks