S&P 500: Pullback from records with yields higher – Deutsche Bank

Deutsche Bank analysts report that the S&P 500 slipped from record highs as higher Oil prices and rising Treasury yields weighed on risk assets. The index fell 0.41%, with broad-based declines across sectors except Energy, though Technology remained relatively resilient and the S&P 500 is still more than 13% above its late‑March low.

Equities retreat as rates and oil rise

"The S&P 500 (-0.41%) also slipped from Friday’s record highs, and while S&P futures are edging +0.13% higher overnight, the Asian markets that are trading today are overwhelmingly in the red."

"The higher oil and rates backdrop weighed on equities, with the S&P 500 retreating by -0.41% from Friday’s record high in a broad-based decline that saw 70% of S&P constituents lower on the day."

"Industrials (-1.17%) and materials (-1.57%) stocks led the decline, while energy (+0.85%) stocks were the only major sector to advance. Tech stocks also showed some resilience, with the NASDAQ (-0.19%) and the Mag-7 (+0.04%) little changed on the day."

"With tech stocks leading strong Q1 earnings growth in the US, the S&P 500 is +13.5% above its low on March 30, even as Treasury yields and longer-dated oil futures have reached new post-Iran war highs."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)