U.S. stocks opened on a negative note on Friday, putting them on track for weekly declines due to an increase in Treasury yields. The latest data from FactSet shows that soon after the opening bell, the Dow Jones Industrial Average (DJIA) was down 0.1%, the S&P 500 (SPX) fell 0.1%, and the Nasdaq Composite (COMP) dropped 0.2%.
Although Treasury yields were down on Friday morning, they remained higher for the week. FactSet data indicates that the 10-year rate was trading at roughly 4.94% at last check.
Investors anticipate that the Federal Reserve will maintain its benchmark interest rate within the current range of 5.25% to 5.5% during its upcoming policy meeting in early November. Cleveland Fed President Loretta Mester is also set to deliver a speech later today.
Based on FactSet data, the Dow is projected to decrease by almost 1% this week, while the S&P is expected to decline by 1.3% and the Nasdaq may experience a drop of nearly 2%.
Conclusion
Despite a slight dip in Treasury yields on Friday, U.S. stocks entered the week with downward momentum, resulting in weekly declines. Investors are cautious ahead of the Federal Reserve’s policy meeting, where the interest rate is expected to remain unchanged.