The index moved higher for a third consecutive session on Thursday, supported by continued weakness in risk assets and a strong rebound in U.S. yields across different time frames.
In the case of the latter, the relentless sell-off in the U.S. bond market is consistent with expectations that the Fed’s Nov. 1 meeting will be suspended again, while speculation of a December rate hike remains steady for now.
In the meantime, all attention will be on the early release of third-quarter gross domestic product (GDP) data, as the economy’s resilience has been closely watched by the Federal Reserve and remains the central bank’s expected “long-term interest rate hike” One of the pillars of the position.