1st October 2026 – (Hong Kong) Stock futures were modestly higher on Wednesday evening at the start of a new trading month, with contracts linked to the Dow Jones Industrial Average up about 99 points, or 0.2 per cent, S&P 500 futures ahead by roughly 0.3 per cent and Nasdaq‑100 futures gaining 0.2 per cent. In the regular session, the S&P 500 slipped 0.3 per cent and the Dow fell more than 440 points, or 0.9 per cent, while the Nasdaq Composite outperformed with a 0.2 per cent rise. September, often a difficult month for equities, saw the S&P 500 decline 0.5 per cent as higher oil prices and a jump in Treasury yields stoked concern over further rate rises; the Dow dropped 4.3 per cent and the Nasdaq gained 1.9 per cent. The third quarter closed with the S&P 500 and Nasdaq each up about 2 per cent, while the Dow fell 2.7 per cent.
Investors entered October weighing a cooler inflation backdrop against still‑elevated bond yields and uncertainty over the Federal Reserve’s next decision expected at the end of October, alongside an approaching earnings cycle. The personal consumption expenditures price index for August rose 3.4 per cent year on year, undershooting consensus near 3.7 per cent, even as Treasury yields pushed higher. The 10‑year yield briefly breached 5.3 per cent, near levels last seen in 2007, and the 30‑year moved above 5.6 per cent, the highest since 2002. Initial jobless claims are due at 8.30am ET on Thursday, followed by the September employment report on Friday, while Nike is set to report results after the bell.
In Asia‑Pacific trade, markets were mixed. Japan’s Nikkei 225 advanced 0.86 per cent while the Topix slipped 0.44 per cent. South Korea’s Kospi fell 0.8 per cent and the small‑cap Kosdaq opened flat. Mainland China and Hong Kong exchanges were closed for a holiday. Futures pointed to a varied start elsewhere, with Australia’s S&P/ASX 200 futures last near 8,765 compared with the prior close of 8,789.3.
Oil prices were little changed as Middle East export flows steadied, offsetting worries over stalled talks between the US and Iran. December Brent futures edged down 0.12 per cent to about 97.91 dollars a barrel, and November West Texas Intermediate slipped 0.35 per cent to around 90.91 dollars. Sentiment improved after Saudi Arabia resumed tanker loadings from Yanbu on the Red Sea as its East‑West Pipeline restarted operations, providing some relief even if throughput has not returned to full capacity.
Technology remained in focus after Google unveiled its Gemini 4 Argon artificial intelligence model, highlighting gains in coding, cyber security and complex professional tasks; Alphabet shares rose more than 1 per cent after hours. Micron reported better‑than‑expected quarterly results as AI infrastructure demand buoyed memory markets, with adjusted earnings of 33.42 dollars per share on revenue of 54.23 billion dollars, both above forecasts, and guidance that topped expectations for the fiscal first quarter at roughly 61.5 billion dollars in revenue and 38.15 dollars in adjusted earnings per share. US equity futures were otherwise little changed at the open, with Dow‑linked contracts up about 41 points, or 0.08 per cent, S&P 500 futures higher by 0.1 per cent and Nasdaq‑100 futures up 0.05 per cent.
Mortgage costs tracked the move in bonds, with the average 30‑year fixed rate rising to about 7.6 per cent, the highest since 1st November 2023 when it reached 7.69 per cent. The latest leg‑up followed the 10‑year Treasury yield touching 5.306 per cent at its intraday high, the loftiest reading since 13th June 2007 when it hit 5.348 per cent. Traders now look to labour data and corporate updates for cues on whether earnings resilience can persist as borrowing costs remain elevated.
