U.S. Stocks, Gold, and Oil Rally as Treasuries Come Under Pressure

Market Overview

Optimism over a potential end to the U.S. government shutdown boosted market sentiment on Tuesday, sparking a strong rebound in risk assets. The S&P 500 and Nasdaq Composite both logged their biggest one-day gains in five months, with the Nasdaq surging over 2% and the S&P 500 climbing more than 1%. The Dow Jones erased all of its monthly losses.

AI and semiconductor stocks led the advance, as the Philadelphia Semiconductor Index jumped 3%. Palantir soared nearly 9%, while NVIDIA rallied almost 6%, outperforming the other “Magnificent Seven” tech giants. Google and Tesla also gained about 4%.

The stock market rally weighed on Treasuries, sending prices lower and pushing the 10-year yield toward a one-month high. The U.S. Dollar Index narrowly avoided a fourth straight decline, while the offshore Chinese yuan strengthened past 7.12 per dollar for the first time in a week.

In cryptocurrencies, Bitcoin climbed more than 2% intraday to break above $106,000. Commodities also rallied broadly: crude oil rebounded for a second consecutive day; gold surged nearly 3% intraday to a two-week high; and London copper posted a second straight gain.

Hot Topics Ahead

● U.S. Government Shutdown Crisis Shows Signs of Resolution

The Senate cleared a key procedural vote to advance a short-term funding bill that would keep the government running through January 30, 2026. The breakthrough came from a compromise under which Republicans agreed to hold a December vote on extending subsidies for the Affordable Care Act (ACA). However, the bill still requires final approval by both chambers and President Trumps signature. Any procedural delay could extend the shutdown into next weekend.

● U.S. Consumer Prices Cool for the First Time in Three Months

Inflation for durable and personal goods eased in October—the first moderation in three months—as retailers offered slightly deeper discounts. A separate inflation gauge from PriceStats also indicated slower overall price growth, though household appliances, furniture, and electronics—categories heavily reliant on imports—remained relatively firm.

Key Focus (GMT+8)

19:00 US — NFIB Small Business Optimism Index (October)