Yields Jump on Hot CPI, Weak Bond Auction

• US stocks fell Thursday as bond yields resumed their upswing amid new inflation data.
• September’s CPI came in hotter than estimated, climbing 0.4% for the month.
• The latest 30-year Treasury auction also saw weak demand, further boosting yields.

US stocks fell Thursday as the latest round of inflation data and a weak bond auction sent Treasury yields back up sharply.

The consumer price index gained 0.4% in September from the prior month, above expectations for a 0.3% increase. Similarly, it rose 3.7% from a year ago, outpacing estimates of a 3.6% rise. 

Meanwhile, the US sold $20 billion of 30-year bonds, but dealers had to take up more supply after investors balked, signaling weak demand amid soaring debt issuance.

The 10-year yield climbed over 10 basis points to about 4.7%, while the 30-year yield shot up as much as 18 basis points at one point after the lackluster auction. 

Here’s where US indexes stood at the 4:00 p.m. closing bell on Thursday: 

Here’s what else is going on today: 

In commodities, bonds, and crypto: 

• West Texas Intermediate crude oil fell 1.9% to $83.4 a barrel. Brent crude, the international benchmark, slid 1.3% to $87.3 a barrel. 
• Gold declined 0.4% to $1,869 per ounce. 
• The 10-year Treasury yield gained 10 basis points to 4.7%.
• Bitcoin fell 0.59% to $26,680.